Accounting Of Events And Transactions Regarding The Share Capital

Entities constantly need material and monetary resources to carry out their activities. These resources cannot exist without a source of financing. One of the sources of financing, available to the entity, for a period of more than one year, with a stable character, refers to share capital. As an element of equity capital, share capital is the primary source of funding and gives owners rights over the assets of the entity. The reason for addressing the topic was precisely the importance of share capital in an entity, as the first source of financing, necessary for the conduct and development of the entity’s business in an economic climate of crisis and uncertainty. As a result, the objective of the research is to present share capital both from a theoretical point of view, through a general overview of the aspects related to the definition, forms and content of share capital, and from an accounting point of view, by presenting individual studies that provide a specific approach to this component of equity capital.