ACADEMIC TOPICS

Capital Gains

Capital gain, for income tax purposes, is the gain realized from sale of capital assets. The difference between the original purchase price and the sale price is the gain realized. The tax on capital gains only occurs when an asset is sold or “...

Capital Investment

Money invested into a business with the expectation that the money will be recovered through future profits. Generally, the money is used for capital expenditures as opposed to daily working capital.

Capital Stock

Capital stock, also known as authorized stock, refers to all common stock and preferred stock a corporation is legally allowed to issue. A corporation’s charter establishes the amount of shares the corporation may issue, and the board of...

Capitalization

1) In the accounting context, it is where a cost is recorded as a a price of the asset rather than as an expenditure.

2) In the corporate context, it is a firm's "invested capital," meaning the business' corporate stock plus long-term debt plus...

Capitalized Expenditure

As opposed to an ordinary (or operating expense), which covers the day-to-day costs necessary to keep a business running, a capitalized expenditure is an expense that is made to 1) acquire an asset (whether tangible or intangible) that has a...

Capitalized Interest

Capitalized interest refers to accrued interest on an asset or loan that is not immediately reported on the company’s income statement as an expense like other interests. Instead, the corporation’s balance sheet reflects the interest in the...

Capitalized Value

Capitalized value is the current worth of an asset, usually real estate, based on a calculation of expected income from the asset over the course of its economic lifespan. Capitalized value is a useful tool for investors to decide whether an...

Capricious

Given to sudden and unaccountable changes of mood or behavior.

A standard for review for appeal, often seen in administrative law. Under this standard, the finding of a lower court will not be disturbed unless it has no reasonable basis - if the...

Caption

Definition from Nolo’s Plain-English Law DictionaryA heading required on all pleadings (court documents), listing the name and contact information of the lawyer or self-represented party, identifying the court in which the case is filed, and stating the...

Carbon Capture

Carbon capture, utilisation, and storage (CCUS) technologies prevent or remove carbon emissions from the atmosphere, and then the captured carbon is reused in manufacturing or stored underground. CCUS technology has yet to be widely adopted,...

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