impaired capital

impaired capital definition - finance
Capital that is worth less than its stated value in the companyÂ’s capital stock account. Impaired capital occurs when an investment has declined in value and is now worth less than what it was recorded as being worth on the companyÂ’s capital stock account on its balance sheet. Also called deficit net worth.

Webster's New World Finance and Investment Dictionary Copyright © 2003 by Wiley Publishing, Inc., Indianapolis, Indiana.
Used by arrangement with John Wiley & Sons, Inc.

Comments
Improve this definition.
Do you have more to add? Share your linguistic knowledge or observation.
/Register to save your comments.