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Summary Accounting Companies Theory Part 1
Accounting companies summarized theory in detail
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Companies (pg. 14-25), A form of a business enterprise that is
created by an association of persons with a
common profit motive as a separate legal
entity with its own legal personality under an
enabling Act of Parliament namely the
Companies Act No. 71 of 2008.
, This is the document that is required to form
a company. The document sets out the basic
rules for how the company is to be run.
, The owners of a company are the
shareholders who provide capital.
Numerous owners capital divided into
shares.
Each shareholder provides capital by buying a
certain number of shares in the company.
Price paid by shareholders per share share
price (depend on how well company
performs)
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