Company Accounts

A set of vocabulary flashcards covering key concepts related to company accounts and corporate structure as outlined in the lecture.

Company

A body corporate formed and registered under the Companies Code giving it separate legal entity status.

Limited Liability

The liability of members is limited to the nominal value of shares held by them.

Perpetual Succession

A company continues to exist despite changes in ownership; its existence is not affected by members' death.

Promoter

An individual who undertakes or participates in the formation of a company.

Registered Capital

The maximum amount of capital a company is authorized to raise as specified in its articles.

Ordinary Shares

Shares that entitle holders to dividends and participation in the residual assets upon liquidation.

Preference Shares

Shares that have a fixed dividend and priority over ordinary shares in repayment during liquidation.

Par Value

The nominal or face value of a share; a share is issued at par if it is sold at its face value.

Dividends

A portion of a company's profits distributed to shareholders based on the number of shares they own.

Regulation

The legal framework governing the formation and operation of companies under the Companies Code.

Shareholder

An individual or entity that owns shares in a company and is entitled to dividends and to vote at general meetings.

Certificate of Incorporation

A legal document issued by the Registrar confirming a company's formation and its limited liability status.

Unissued Capital

The portion of authorized capital that the public has not yet been asked to take up.

Paid Up Capital

The amount of capital that shareholders have actually contributed to the company.

Uncalled Capital

The portion of issued capital that the company has not yet required shareholders to pay.

Share Deal Account

An account used by a company to manage the redemption or purchase of its shares.

Annual Returns

Documents that companies are required to file with the Registrar to disclose financial and operational information.