What is meant by issued share capital?

Issued share capital refers to the portion of a company's authorized capital that has actually been sold and is held by shareholders. When a company issues shares, it raises funds from investors who then become part-owners of the company through their shareholdings. The value of these shares represents the company's commitment to utilizing that capital for its business operations, and it reflects the equity stake that shareholders have in the firm.

In this scenario, the correct answer highlights that issued share capital is specifically concerned with the actual shares that have been sold and are currently owned by shareholders. This is a critical concept in corporate finance as it has direct implications for the company's funding and the overall capital structure.

The other options address different aspects of capital markets but do not correctly define issued share capital. The total potential capital refers to all authorized shares that a company can issue, not just the shares that have been sold. The total market value of outstanding shares pertains to the market capitalization and is influenced by share price fluctuations, which is not the same as issued share capital. Meanwhile, the value of shares that have been withdrawn pertains to shares that are no longer in circulation, which is outside the scope of what constitutes issued capital.