Memorizing Share Capital Formula: A Game-changer
company general advanced study_tipMujhe ek baar pehle yeh pata tha ki share capital formula ko yad karna kaafi mushkil hai, but phir maine dekha ki yeh bahut hi simple hai. Formula hai: EPST + NCST = Total Share Capital, jahan EPC karta hai equity paid-up capital, NCST nahi hai (maine isse nimnalikhit mein convert kiya hai) aur NCST nahi hai (NCST mein no. of shares issued aur no. of shares taken back hote hain). Isse maine ek simple mnemonic bana liya: Elephants Play Soccer Together, aur usme NCST nahi hota kyonki yeh nahi hota. Iski madad se mujhe yeh formula toot nahin jata.
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Yaar, I think there's some confusion. The share capital formula is actually D = P + FV. Where D is the dividend, P is the profit, and FV is the face value. Don't get it mixed up with the formula for calculating share capital itself, which is Total Share Capital = Nominal Value X Number of Equity Shares. So, to clarify, the two formulas are quite distinct.