Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

CARTONBOARD

Paperboard is a thick paper based material. While there is no rigid differentiation between paper and paperboard, paperboard is generally thicker (usually over or 10 points) than paper.

CARVE-OUT

A CORPORATE FINANCE transaction where a company segregates a portion of its business, places it in a separate corporate entity, and sells it to a third party or floats it through an

CASE BASED REASONING

Broadly construed, is the process of solving new problems based on the solutions of similar past problems. An auto mechanic who fixes an engine by recalling another car that exhibited similar symptoms

CASE IN CHIEF

The portion of a trial whereby the party with the BURDEN OF PROOF in the case presents its evidence. The term differs from a rebuttal, whereby a party seeks to contradict the

CASEBOOK

A book containing a selection of source materials on a particular subject, esp. one used as a reference work or in teaching.

CASH ACCOUNT

It’s a ledger that shows just how much the company has in cash holds.

CASH ACCUMULATION METHOD

mathematical method of comparing the costs of different cash value life insurance policies. The cash accumulation method assumes that the death benefits for the policies are equal and unchanging. The aggregate total

CASH ACKNOWLEDGMENT

Notice sent to a cash buyer acknowledging receipt of the order. The acknowledgment may include an offer inviting the buyer to increase the purchase order. Cash acknowledgments are frequently used if delivery

CASH AGAINST DOCUMENTS (CAD)

A standard, commercial letter of credit (LC ) is a document issued mostly by a financial institution, used primarily in trade finance, which usually provides an irrevocable payment undertaking.

CASH ALLOWANCE

An allowance that is paid out in cash, instead of being reimbursed at a later date. Employers usually give cash allowances to employees in order to cover the costs of, for example,

CASH AND CARRY

A system of wholesale trading whereby goods are paid for in full at the time of purchase and taken away by the purchaser.

CASH ASSET RATIO

The reserve requirements (or cash reserve ratio) is a state bank regulation that sets the minimum reserves each bank must hold to customer deposits and notes.

CASH AVAILABLE TO INVEST

The amount, including cash on account and balances due soon for outstanding transactions, that a client has available for investment with a broker.

CASH AWARDS

An award given to an employee or contestant in the form of cash. Cash awards can either be the only award option or taken in lieu of a tangible item.

CASH BALANCE PLAN (CBP)

A defined benefit retirement plan that maintains hypothetical individual employee accounts like a defined contribution plan.

CASH BASIS

An accountancy reporting method that recognizes cash inflows or outflows when actually expended or received.

CASH BASIS ACCOUNTING

Two primary accounting methods, cash and accrual basis, are used to calculate taxable income for U.S. federal income taxes.

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