Capital Surplus

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Dictionary Says

Definition of 'Capital Surplus'

Equity which cannot otherwise be classified as capital stock or retained earnings. It's usually created from a stock issued at a premium over par value.
Investopedia Says

Investopedia explains 'Capital Surplus'

Capital surplus is also known as share premium (UK), acquired surplus, donated surplus, paid-in surplus, or additional paid-in capital.

Related Definitions

  • Capital

    1. Financial assets or the financial value of assets, such as cash. 2. The factories, machinery and equipment owned by a business.
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  • Equity

    1. A stock or any other security representing an ownership interest. 2. On a company's balance sheet, the amount of the funds contributed by the owners (the stockholders) plus the ...
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  • Retained Earnings

    The percentage of net earnings not paid out as dividends, but retained by the company to be reinvested in its core business or to pay debt. It is recorded under shareholders' equity on ...
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