أنشئ حسابًا أو سجّل الدخول للانضمام إلى مجتمعك المهني.
Watered capital or stock represents those security issues which are not covered or backed by the value of the assets of the company. It is the excess of total capitalisation over the real value of the long-term assets of the company.
regular valued stock are backed by assets, watered capital (stock) are not. Thus, watered capital is as worthless as water.
