What is an Equity Share
Posted on 01-05-2016
What is an Equity Share?
Total equity capital of a company is divided into equal units of small
denominations, each called a share. For example, in a company the total
equity capital of Rs 2,00,00,000 is divided into 20,00,000 units of Rs 10
each. Each such unit of Rs 10 is called a Share. Thus, the company then is
said to have 20,00,000 equity shares of Rs 10 each. The holders of such
shares are members of the company and have voting rights.