Explain any two sources of owners fund

retained earings n equity shares...
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1) Retained Earnings - A portion of the net earnings may be retained in the business for use in future. This is known as retained earnings. It is a source of internal financing or self financing or also called " PLOUGHING BACK OF PROFITS."
2) Equity Shares - It is most important source of raising long term capital by a company. Equity shares represent ownership of a company. The dividends are paid on the basis of earning of the company. Equity shareholders have right to vote and these have right to participate in the management of the company.
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Preference shares, GDR, IDR
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That is ploughing back of profit or self finance or retained earning and equity share
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Two sources of owners funds are
(1)retained earnings
A company generally does not distribute all its earnings amongst the shareholders as dividends.a portion of the net earnings may be retained in the business for future use.this is known as retained earnings.
(2)equity shares
Equity shares is the most important sources of raising long term capital by a company.equity shares represent the ownership of a company and thus the capital raised by issue of such shares is called ownership capital or owner's funds.
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Explain any two sources of owner fund
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