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Definition

Equity

Equity is the value of a business after all debts and other claims are settled.  Also, the amount of cash a business owner invests in a business and/ or the difference between the price for which a property could be sold and the total debts registered against it.


Equity for a vehicle that has been financed through a loan, the difference at any time between what a vehicle is worth at that time and the amount that is then owed on the loan.

 

Webster Dictionary Meaning

1. Equity
- Equality of rights; natural justice or right; the giving, or desiring to give, to each man his due, according to reason, and the law of God to man; fairness in determination of conflicting claims; impartiality.
- An equitable claim; an equity of redemption; as, an equity to a settlement, or wife's equity, etc.
- A system of jurisprudence, supplemental to law, properly so called, and complemental of it.
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