Share Capital

question 62

Multiple Choice

Share capital:

• A) Relates to one class of shares, with the remaining equity recorded as reserves or retained profits.
• B) Represents the amount shareholders are guaranteed to receive if the company is wound up.
• C) May relate to one or several classes of shares.
• D) May be calculated by subtracting liabilities from assets.
• E) None of the given answers.

---

Definitions:

Transfer Price

The price charged for goods or services transferred between departments or divisions of the same company or between affiliated companies.

Pump Division

The pump division within a company refers to the segment that specializes in the production and development of pump units and systems.

Transfer Price

The cost at which products or services are exchanged between departments or divisions within the same organization.

Castings Division

A specialized department within a manufacturing company focused on producing parts by pouring molten material into molds.