Arrange the following categories of share capital in a sequence: (A)…

Arrange the following categories of share capital in a sequence:

(A) Registered Capital
(B) Subscribed Capital
(C) Called up Capital
(D) Paid up Capital
(E) Issued Capital

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 3

The correct answer is Option (3) → (A), (E), (B), (C), (D)

Each category of share capital is a part of the one before it.

(A) Registered Capital — the maximum the company may issue (authorised capital).
(E) Issued Capital — the part of it offered to the public.
(B) Subscribed Capital — the part of the issued capital taken up by the public.
(C) Called up Capital — the part of the subscribed capital the company has asked for.
(D) Paid up Capital — the part of the called up capital actually received.

NCERT (2026-27 edition):
Authorised Capital – “Authorised capital is the amount of share capital which a company is authorised to issue by its Memorandum of Association. The company cannot raise more than the amount of capital as specified in the Memorandum of Association. It is also called Nominal or Registered capital.”

NCERT (2026-27 edition):
Issued Capital – “It is that part of the authorised capital which is actually issued to the public for subscription including the shares allotted to vendors and the signatories to the company’s memorandum.”

NCERT (2026-27 edition):
Subscribed Capital – “It is that part of the issued capital which has been actually subscribed by the public.”

NCERT (2026-27 edition):
Called up Capital – “It is that part of the subscribed capital which has been called up on the shares, i.e., what the company has asked the shareholders to pay.”

NCERT (2026-27 edition):
Paid up Capital – “It is that portion of the called up capital which has been actually received from the shareholders.”