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capital account

Definitions

from The American Heritage® Dictionary of the English Language, 4th Edition

  • n. An account stating the amount of funds and assets invested in a business by the owners or stockholders, including retained earnings.
  • n. A statement of the net worth of a business at a given time.

from Wiktionary, Creative Commons Attribution/Share-Alike License

  • n. An account in the net worth section of the balance sheet of an entity such as sole proprietorships and partnerships. In this context, the "capital account" (or, in cases of more than one owner, the "sum of all individual capital accounts") is the residual difference between total assets minus total liabilities, or the "net worth" of the entity. The term should not be confused with similar terms such as "working capital," "capital asset," "capital expenditure," and "capital lease."
  • n. In corporations "capital stock accounts" are roughly equivalent to capital accounts except corporations may include other capital accounts such as "retained earnings" which are not individually owned by the shareholders.
  • n. An account that records all transactions between domestic and foreign residents that involve a change of ownership of an asset. It is the net result of public and private international investment flowing in and out of a country.

from WordNet 3.0 Copyright 2006 by Princeton University. All rights reserved.

  • n. (finance) an account of the net value of a business at a specified date
  • n. (economics) that part of the balance of payments recording a nation's outflow and inflow of financial securities

Etymologies

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