Impairment

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	Definition of 'Impairment' 1. A reduction in a company's stated capital. 2. The total capital that is less than the par value of the company's capital stock.
	Investopedia explains 'Impairment' 1. This is usually reduced because of poorly estimated losses or gains. 2. Impairment can be used in many contexts. Whatever the situation, impairment is bad for the company.

Related Definitions

Capital

1. Financial assets or the financial value of assets, such as cash. 2. The factories, machinery and equipment owned by a business.
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Impaired Asset

A company's asset that is worth less on the market than the value listed on the company's balance sheet. This will result in a write-down of that same asset account to the stated market ...
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Impaired Credit

A deterioration in the creditworthiness of an individual or entity. This is usually reflected through a lower credit score, in the case of an individual, or a reduction in the credit ...
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- Onerous Contract
  
  A type of contract where the costs involved with fulfilling the terms and conditions of the contract are higher than the amount of economic benefit received. According to the ...
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