Definition of Capital account
1. Noun. (economics) that part of the balance of payments recording a nation's outflow and inflow of financial securities.
Generic synonyms: Account, Account Statement, Accounting
Group relationships: Balance Of International Payments, Balance Of Payments
2. Noun. (finance) an account of the net value of a business at a specified date.
Definition of Capital account
1. Noun. (accounting) 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." ¹
2. Noun. 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. ¹
3. Noun. (economics) 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. ¹
¹ Source: wiktionary.com
Capital Account Pictures
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Lexicographical Neighbors of Capital Account
Literary usage of Capital account
Below you will find example usage of this term as found in modern and/or classical literature:
1. 20th Century Bookkeeping and Accounting: A Treatise on Modern Bookkeeping by James Williams Baker (1918)
"capital account. § 38. The Object of this Account is to show the net capital ... Debit the capital account: If 1. For any debts owed at the beginning of the ..."
2. OECD Economic Surveys by OECD Staff (2004)
"Decomposition of the current account surplus (capital account view) 21 18 15 12 9 6 3 0 As a percentage of GDP Capital outflow of private sector ..."
3. Modern Accounting, Its Principles and Some of Its Problems by Henry Rand Hatfield (1909)
"If the proprietor is an individual, the opening entry in the capital account represents the net wealth with which he starts his business. ..."
4. Auditing Theory and Practice by Robert Hiester Montgomery (1912)
"Due From Other Funds: This account is charged with cash temporarily loaned to the capital account or to trust funds. It is credited when cash is returned or ..."
5. Corporation Finance by Edward Sherwood Mead (1920)
"From time to time, it becomes necessary or advantageous for a company to readjust its capital account, changing the form of assets, exchanging assets for ..."
6. Railway Economy: A Treatise on the New Art of Transport, Its Management by Dionysius Lardner (1850)
"They have been even urged on all hands to close the capital account with all ... But the impossibility of closing the capital account does not arise solely ..."
7. Accounting in Theory and Practice: A Text-book for the Use of Accountants by George Lisle (1906)
"The fixed assets and fixed liabilities are kept in an account called the Receipts and Expenditure on capital account, and the floating assets and floating ..."