Comment on The IPO Markets - Part 1

prashant commented on 22 Oct 2016, 06:42 AM

I think if i bring accountancy here , i can’t tally my balance sheet (perhaps) . The initial capital is 5 crs and how can we assume 50% issued and 50% authorized capital. Cash on the asset side will show up 5crs and issued capital as assumed in the example is 2.5crs. As authorised capital doesn’t form part of balance sheet ( it just for disclosure ) , how are you going to match up both sides. Balance of 2.5crs is premium ?

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