Definition

Accounting insolvency

Accounting insolvency means total liabilities exceed total assets. A firm with a negative net worth is insolvent on the books.

Share it:  Cite

More from this Section

  • Bank
    Bank is any financial institution that receives, collects, transfers, pays, exchanges, ...
  • Networking
    Networking is the sharing of facilities for the movement of funds and financial information ...
  • Customs Duty
    Customs Duty is tax levied by the government on goods crossing their borders, usually ...
  • Business Values
    values represents basic convictions that a specific mode of conduct or end stat of existence ...
  • Portfolio immunization
    Portfolio immunization is an interest-rate hedging device that permits a bank to reduce ...