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In the business world the word capital usually refers to an item in the balance sheet representing that part of the net worth of an enterprise that has not been produced through the operations of the enterprise.
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Because the two sides of this balance sheet represent two different aspects of the same entity, the totals must always be identical.
The balance sheet represents a specific point in time, so assets and liabilities must be brought current on date shown on the balance sheet.
If that generates a loss, it creates an offsetting "deferred asset" on its balance-sheet, representing future profits it won't have to send to the Treasury.
After all, swapping pristine government bonds for dodgier assets lowers the quality of the Fed's balance sheet and $200 billion represents around a quarter of the Fed's asset base.
And the insurance company would sell you an insurance policy and would set an amount on their balance sheet that would represent a reserve against the potential loss/payout.
The sheet represents space.
The top 200 publicly listed oil, gas and mining companies carry on their balance sheets fossil fuels representing over 25percentt of those reserves.
Your family's health is represented by a balance sheet at the end of each workday.
They argue that such trades represent appropriate activities to protect the bank's balance sheet.
Still, that represents a smaller portion of the bank's overall balance sheet compared with many regional and community lenders.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com