{"id":8787,"date":"2015-07-17T07:18:56","date_gmt":"2015-07-17T05:18:56","guid":{"rendered":"http:\/\/www.officetodo.com\/public\/?p=8787"},"modified":"2015-07-12T07:19:33","modified_gmt":"2015-07-12T05:19:33","slug":"account-within-entitys-equity-that-change-very-rarely","status":"publish","type":"post","link":"https:\/\/www.officetodo.com\/public\/account-within-entitys-equity-that-change-very-rarely\/","title":{"rendered":"Account within entity\u2019s equity that change very rarely"},"content":{"rendered":"<p>As a matter of fact, as a comparison, if cash and cash equivalents is the account that changes most often, equity accounts, like share capital and reserves, are the ones that change the less.\u00a0<!--more--><\/p>\n<p>Equity accounts that rarely change are the ones regulated by laws \u2013 share capital and any other reserve accounts required by the regulation, by articles of association. The reasons for those rare changes are derived from the fact that they\u2019re strictly regulated and can only happen under specific circumstances. And, to be honest, why would you need to change for your share capital anyway? If anything, you may want to increase your other reserves to keep your total equity at a level required by law, but this is only necessary if you\u2019re earning losses and you\u2019d need to improve your equity.<\/p>\n<p>Changes within those accounts are rare there isn\u2019t usually any need for those changes \u2013 share capital and share premium are amounts required to reflect on the initial capital investment into the entity and are usually increased only to reflect any new capital investments into the entity. Other reserves are those which are shown and increased for improving the general equity position of the entity. None of those accounts are related to entity\u2019s everyday performance in that sense so as to have them change often and easily.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As a matter of fact, as a comparison, if cash and cash equivalents is the account that changes most often, equity accounts, like share capital and reserves, are the ones that change the less.\u00a0<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[51],"tags":[],"class_list":["post-8787","post","type-post","status-publish","format-standard","hentry","category-4-6-statement-of-changes-in-equity"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/8787","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/comments?post=8787"}],"version-history":[{"count":1,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/8787\/revisions"}],"predecessor-version":[{"id":8788,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/8787\/revisions\/8788"}],"wp:attachment":[{"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/media?parent=8787"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/categories?post=8787"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/tags?post=8787"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}