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Capital equipment

Business Capital EmployedCapital expenditure

Capital equipment: Equipment that you use to manufacture a product, provide a service or use to sell, store and deliver merchandise.

 


capital equipment
Also known as producer goods, these are goods, such as machinery and equipment, which are used to create other goods.
Economics Dictionary:
capital goods ...

An asset whose value arises not from its physical embodiment (as would a building or a piece of land or capital equipment) but from a contractual relationship: stocks, bonds, bank deposits, currency, etc.
Financial capital ...

-set a new corporate alternative minimum tax on depreciable expenses such as accelerated depreciation on capital equipment.
-imposed a 5% surcharge, effective in 1988, for some taxpayers.

Allows fixed assets - or capital equipment such as cars or computer equipment - to be written off over several years.

A lot of productive CAPITAL equipment that had been viable at lower oil prices proved to be unprofitable to run at the higher prices and was shut down.

Some export sales, especially sales of capital equipment, may sometimes require financing terms tailored to the buyer's cash flow and may involve payments over several years.

A replacement cycle is the pattern over which capital equipment is replaced, in particular the time from purchase to replacement. They are particularly important in IT, where the replacement cycles are both short and can vary.

Illustration: A forward transaction to buy yen for a capital equipment purchase has been made. Delivery will be late. A way around this problem would be to take delivery of the yen as agreed and put the amount on deposit until needed.

Definition of Capital Consumption: This is the loss of capital equipment due to depreciation. Depreciation can occur due to the machines wearing out, getting lost or breaking down. Capital can also become obsolete through advances in technology.

The largest sub-category is capital equipment, such as computer equipment, semiconducters and medical equipment. The second largest is industrial machinery and equipment, including plastics, chemicals and petroleum products.

Equipment loan - A loan used for the buying of capital equipment.
Equities - Another name for an ordinary share.
Equities company shares - Holders of equities, owners of the company and share in its profits by receiving dividends.

Definition: Investment is the purchase of capital equipment. i.e. the purchase of machines, equipment, factories etc. that firms need to enable them to produce. It is usually split into two parts: ...

EQUIPMENT LOAN - a loan used for the purchase of capital equipment.
EQUIPMENT TRUST CERTIFICATE - Is a security which is collateralized by specific equipment, often capita...

Incentives include tax holidays, tax reduction for labor expenses, and duty-free importation of capital equipment, and are available for companies investing in preferred areas and registered with the Board of Investments (BOI).

Ex-Im Bank effort encouraging commercial lenders to finance the sale of U.S. capital equipment and services to approved foreign buyers. The Ex-IM Bank guarantees the principal and interest on these loans.
Medium-term note ...

Direct Loan Program definition :
Fixed-rate loans offered by the Ex-Im Bank directly to the foreign buyer to purchase US capital equipment and services.
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Your personal broking service FTSE 350 and Smallcap Share Service ...

Fixed-rate loans offered by the Ex-Im Bank directly to the foreign buyer to purchase US capital equipment and services.
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Personal Finance Glossary ...

A type of accounting process that aims to capture a company's costs of production by assessing the input costs of each step of production as well as fixed costs such as depreciation of capital equipment.

Foreign Aid - A grant of money, technical assistance, capital equipment, or other assistance typically extended by richer nations to poorer nations.

Medium-Term Guarantee Program
Ex-Im Bank effort encouraging commercial lenders to finance the sale of U.S. capital equipment and services to approved foreign buyers. The Ex-IM Bank guarantees the principal and interest on these loans.

rental price of capital the amount that a rental company charges for the use of capital equipment for a specified period of time. (13)
required reserve ratio the fraction of a bank's deposits that it is required to hold at the Fed. (24) ...

Program under which banks, the Ex-Im Bank, or a combination of both may extend long-term financing for capital equipment and related services for major projects.
Project financing ...

Reinvestment Profits (or depreciation reserves) used to purchase new capital equipment.
Relative price The price of a commodity expressed in terms of another commodity.

A medium or long term export credit loan to the importer granted at the request of the exporter to finance the purchase of capital equipment or services.
C
Call Option ...

" Within the textiles sector, apparel products often utilize more unskilled labor and less expensive capital equipment than in other manufacturing industries; as a result, ...

Companies tend to replace old capital equipment when profits are high; consumers tend to replace more major household items when consumer confidence and household incomes are high.

These are known as capital intensive firms. Examples include natural resources and capital equipment manufacturers. Compare this with businesses such as service companies (McDonalds) or computer software companies.

Governments also prohibited the export of tools and capital equipment and the emigration of skilled labor that would allow foreign countries, and even the colonies of the home country, to compete in the production of manufactured goods.

Healthy amounts of cash flow are essential to a company's solvency (and hence, survival) by ensuring that creditors, employees and others can be paid on time, and that investment can be made in capital equipment and future growth initiatives.

It can also be extended directly by an official institution within the country of export, usually in the form of medium-term finance for the promotion of exports of capital equipment or for the implementation of large-scale, medium-term projects.

capital equipment and services to approved foreign buyers. The Ex-IM Bank guarantees the principal and interest on these loans.

See also: Banks, Expense, Compensation, Acquisitions, Values

Business Capital EmployedCapital expenditure

 
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