balance sheet insolvency

Insolvency created when the debtor’s liabilities exceed its assets.

• Under some state laws, balance-sheet insolvency prevents a corporation from making a distribution to its shareholders.

— Also termed balance-sheet test.

---

词条贡献者

法律翻译Gwen，毕业于新加坡知名法学院，专注翻译各类与劳工、雇佣及移民有关的法律文件。