CAPITAL Definition

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CAPITAL, in economics, can mean: factories, machines, and other man-made inputs into a production process. In finance, capital is money and other property of a corporation or other enterprise used in transacting the business.

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COMMERCIAL LOAN is a short-term business loan usually issued for a term of up to six months.

CORPORATE BOND is evidence of debt owed by a corpora­tion, issued for the purpose of borrowing money, and promising to return the face value of borrowed money at maturity. Corporate bonds usually pay interest at regular intervals twice each year.

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