Use the following information and answer the question below.

Oruma Ltd issued 300,000 ordinary shares at N100 each. Applications were received for 200,000 shares and all those who applied, paid in full.
 

The authorized share capital is

A.

N300,000

B.

N250,000

C.

N200,000

D.

N150,000

Correct answer is A

The authorized capital of a company is the maximum amount of share capital that the company is authorized by its constitutional documents to issue to shareholders.