In the USA, donated capital refers to a gift of an asset to a company. The value is credited to a donated-capital account, which is a stockholders' equity account.
Legal capital represents the amount of a company's stockholders' equity which cannot be reduced by the payment of dividends, ensuring a company's financial stability and the protection of creditors.
Ordinary share capital is the total share capital of a company consisting of ordinary shares, which entitles shareholders to a share in the company's profits and may include voting rights and other privileges.
Owner's equity represents the portion of an organization's value held by its owners, encompassing capital investments and retained earnings, minus liabilities such as dividends and other financial obligations.
Paid-in capital represents the amount of money a company has received from shareholders in exchange for shares of stock, encompassing the funds received from stock issuance, premiums or discounts on stocks sold, stock donations, and the resale of treasury stock.
Paid-In Capital Surplus represents capital received from investors in exchange for stock. It is distinguished from capital generated from earnings or donations and includes capital stock and contributions from stockholders that are credited to accounts other than capital stock, such as an excess over par value.
Premium on capital stock refers to the excess amount received from stockholders over the par value of the stock issued. It is reflected in the balance sheet under the paid-in-capital section of stockholders' equity and should not be regarded as income.
Primary earnings per (common) share refers to the earnings available to common stockholders divided by the number of common shares outstanding.
Sources of funds are various channels through which businesses obtain the capital required to operate and expand. They are detailed within the statement of changes in financial position, highlighting the increase in funds during an accounting period. Funds are typically defined as working capital or cash.
Stockholders' equity represents the ownership interest of shareholders in a corporation, calculated as the difference between total assets and total liabilities.
Vertical analysis is a financial analysis method wherein each line item in a financial statement is listed as a percentage of a base item.
