EVIDENCE Definition

Bookmark and Share

EVIDENCE, in accounting, includes written and electronic information (e.g. checks, records of electronic fund transfers, invoices, contracts, and other information) that permits the auditor to reach conclusions through reasoning.

Learn new Accounting Terms

CAPITAL ADEQUACY is a measure of the financial strength of a bank or securities firm, usually expressed as a ratio of its capital to its assets. For banks, there is now a worldwide capital adequacy standard, drawn up by the Basle Committee of the Bank for International Settlements. This ratio requires banks to have capital equal to 8 per cent of their assets.

 

IN THE BLACK means making money; the opposite of "in the red."

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.