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I want to know that is net worth includes preference share capital or not.
yes it includes pref share capital as far as I know.......... correct me if wrong........
ya i have studied that too that
Net worth = total assets - total liab.
OR Net Worth = Eq. share cap. + pref. share cap. + res & surplus - misc. exp. to the extent not written off
But somebody told me that it doesn't include pref share cap.
then they must be wrong........ I too studied the same in different books........
but Net worth= net fixed assets+working capital
Yes, definately the net woth includes the preference share capital.
NET WORTH IS SHARE HOLDERS FUND... SO IT WILL INCULDE PREFRENCE SHARE..
nice explain by shubhankar,
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