Difference between revisions of "Owner's Capital"
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| − | [[Owner's Capital]] | + | [[Owner's Capital]] (alternatively written as [[owner's capital]] or, simply, [[capital]]; hereinafter, the ''Capital'') is the owner's investment of equity in the [[organization]] that he, she, or it owns. For [[startup business]]es, for instance, [[Owner's Capital]] can be the personal funds a business owner introduces to his, her, or its business so that it can operate. |
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| + | The ''Capital'' can also refer to monetary assets currently available for use. Entrepreneurs raise capital to start a company and continue raising capital to grow the company. | ||
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| + | ==Definitions== | ||
| + | According to [[College Accounting: A Practical Approach by Slater (13th edition)]], | ||
| + | :[[Capital]]. The owner's investment of equity in the [[organization]]. | ||
| + | According to [[Macroeconomics by Mankiw (7th edition)]], | ||
| + | :[[Capital]]. 1. The stock of equipment and structures used in production. 2. The funds to finance the accumulation of equipment and structures. | ||
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| + | ==Related concepts== | ||
| + | *[[Bookkeeping]]. Recording, filing, and retrieving of [[financial data]], as well as producing those [[financial report]]s that are required by laws. | ||
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| + | ==Related lectures== | ||
| + | *[[Bookkeeping Quarter]]. | ||
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| + | [[Category: Septem Artes Administrativi]][[Category: Articles]][[Category: Economics]] | ||
Latest revision as of 17:13, 1 July 2020
Owner's Capital (alternatively written as owner's capital or, simply, capital; hereinafter, the Capital) is the owner's investment of equity in the organization that he, she, or it owns. For startup businesses, for instance, Owner's Capital can be the personal funds a business owner introduces to his, her, or its business so that it can operate.
The Capital can also refer to monetary assets currently available for use. Entrepreneurs raise capital to start a company and continue raising capital to grow the company.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Capital. The owner's investment of equity in the organization.
According to Macroeconomics by Mankiw (7th edition),
- Capital. 1. The stock of equipment and structures used in production. 2. The funds to finance the accumulation of equipment and structures.
Related concepts
- Bookkeeping. Recording, filing, and retrieving of financial data, as well as producing those financial reports that are required by laws.
