Question 8
Business CalculationsA company has an authorized capital of 40 million shares at ₦1 per share, out of which 32 million shares have been issued and fully paid-up. The remaining 8 million shares have
- A.been issued but have not been paid-up
- B.been applied for but not issued
- C.not been paid-up
- D.not yet been issued.
Show the answer and explanation
Answer: D (not yet been issued.)
Explanation
Authorised capital is the maximum; 40m − 32m issued = 8m shares not yet issued.