A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
Insolvent
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| - | A company becomes |insolvent when it is either unable to pay its debts as and when they fall due, or when its [[Liabilities|liabilities]], including contingent and prospective liabilities, exceed the value of its [[Assets|assets]]. The opposite of [[Solvent|solvent]]. | + | A company becomes |insolvent when it is unable to pay its debts when they fall due or when its [[Liabilities|liabilities]] exceed the value of its [[Assets|assets]]. The opposite of [[Solvent|solvent]]. |
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| | See also: [[Bankruptcy]] | | See also: [[Bankruptcy]] |
Revision as of 16:16, 12 August 2009
A company becomes |insolvent when it is unable to pay its debts when they fall due or when its liabilities exceed the value of its assets. The opposite of solvent.
See also: Bankruptcy