Home > Term: capital maintenance
capital maintenance
Accounting concept that a profit can be realized only after capital of the firm has either been restored to its original level (called 'capital recovery') or is maintained at a predetermined level. It is necessary, therefore, to determine the value of capital before the amount of profit can be computed.
- Part of Speech: noun
- Industry/Domain: Accounting
- Category: General accounting
0
Creator
- anton.chausovskyy
- 100% positive feedback