The total value received by company as consideration for shares issued constitutes

Answer Details

The total value received by a company for the shares it issues is referred to as "paid-up capital". This represents the actual amount of money invested by the shareholders into the company, and it is one of the components of the total "shareholders' equity" of the company. The paid-up capital is determined by multiplying the number of shares issued by the price at which they were sold, and it represents the initial investment made by the shareholders to finance the operations of the company.