Warning

Info

Warning

Info

Warning

Info

LSDefine

Simple English definitions for legal terms

capital surplus

Read a random definition: notice to all the world

A quick definition of capital surplus:

Capital surplus is the extra money a company has after it has paid all its debts and expenses. It can come from things like selling stock for more than it's worth or getting donations. This money is different from the money the company has earned from its business. It's like having extra money in your piggy bank after you've paid for everything you need. The company can use this extra money for things like buying new equipment or expanding its business.

A more thorough explanation:

Definition: Capital surplus is the excess of a corporation's net worth beyond the par value of its capital stock. It is a type of surplus that is not earned from the accumulation of profits, but rather created by financial reorganization or gifts.

Examples:

  • Paid-in surplus: This is the surplus gained by the sale, exchange, or issuance of capital stock at a price above par value. For example, if a company issues 100 shares of stock at $50 per share, but the par value is only $10 per share, the paid-in surplus would be $4,000 ($50 - $10 = $40 x 100 shares).
  • Donated surplus: This is the increase in the shareholders' equity account resulting from assets (such as stock) contributed to a corporation. For example, if a shareholder donates 50 shares of stock to a company, and the par value is $10 per share, the donated surplus would be $500 (50 shares x $10 per share).
  • Appropriated surplus: This is the portion of surplus earmarked for a specific purpose. For example, a company may set aside a portion of its surplus for research and development or to pay off debt.

These examples illustrate how capital surplus is different from earned surplus, which is the surplus gained from a company's profits. Capital surplus is created through financial transactions or gifts, and can be used for various purposes such as investments or paying off debt.

capital structure | capital transaction

Warning

Info

General

General chat about the legal profession.
main_chatroom
👍 Chat vibe: 0 👎
Help us make LSD better!
Tell us what's important to you
TGM
18:41
not sure if I should email them to say that, or just hold off on sending it and not give an excuse
18:41
I think I just wouldn’t reach out and if they ask for them then say that
Dkk
18:41
@tgm Yeah sounds good, say that if they ask
18:47
hey yall
18:47
im premed idk why im here
18:48
we’re like cool and sexy and fun I get it
18:48
true i love ur user
18:49
thank you my little crow friend
Dkk
18:50
Med law easy done
medicine is a scam
join the ethically ambiguous legal field instead
Dkk
18:57
I want to meet an attorney that defends clients who run into flat earth problems. I want an attorney that knows and believes in flat earth theory.
19:05
i want a flat earther for president. i want a guy who posts on 4chan for president. i want someone who mogs for president.
Dkk
19:18
Exactly. My version of that awful poem.
Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
president who respects sex is crazy
windyMagician
19:20
we had bill clinton already
Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
LSD+ is ad-free, with DMs, discounts, case briefs & more.