What Are They? Say you are in the grocery store with a friend on a Thursday afternoon and see something you need for your house; a broom for example. Although you get your paycheck the next day, you ask your shopping buddy to borrow a few dollars so you can purchase the broom now, in return for which you will not only pay them back tomorrow, but buy them dinner as well. Your … [Read more...]
defining: premium issue
Generally, shares have a face value (i.e. the value as in a balance sheet) of Rs.10 though not always offered to the public at this price. Companies can also offer a share with a face value of Rs.10 to the public at a higher price.and this difference between the offer price and the face value is called premium . . As per the SEBI guidelines, new companies can offer shares to … [Read more...]