While presenting share capital in the Balance Sheet, the following items are added in Notes to accounts.

A. Subscribed and fully paid up
B. Authorized Share Capital
C. Subscribed but not fully paid up
D. Issued Share capital
E. Share forfeited Balance

Choose the correct answer from the options given below.

A, B, C, D & E only

The correct answer is Option (3) -A, B, C, D & E only

In the preparation of the Balance Sheet of a company (as per Schedule III of the Companies Act, 2013), the Notes to Accounts for Share Capital follow a specific hierarchy and disclosure format.

1. Authorized Share Capital (B): This is the maximum amount of share capital that a company is authorized to issue. It must be stated in the notes, though it is not added to the final balance sheet total.

2. Issued Share Capital (D): This represents the nominal value of the shares actually offered to the public for subscription. Like authorized capital, it is shown for information but not totaled into the final equity figure.

3. Subscribed Share Capital: This is divided into two categories, both of which are essential for calculating the final amount shown on the face of the Balance Sheet:

   • Subscribed and fully paid up (A): Shares where the entire face value has been called and received by the company.

   • Subscribed but not fully paid up (C): Shares where either the company has not called the full value or the shareholder has failed to pay the called amount (Calls-in-Arrears).

4. E. Share Forfeited Balance: When shares are cancelled due to non-payment, the amount already received on them is kept by the company in the "Share Forfeited Account." According to accounting standards, this balance must be added to the Subscribed Capital in the Notes to Accounts until those shares are reissued.

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