capitalization

noun

cap·​i·​tal·​i·​za·​tion ˌka-pə-tə-lə-ˈzā-shən How to pronounce capitalization (audio)
ˌkap-tə-
1
a
: the act or process of capitalizing
b
: a sum resulting from a process of capitalizing
c
: the total liabilities of a business including both ownership capital and borrowed capital
d
: the total par value or the stated value of no-par issues of authorized stock
2
: the use of a capital letter in writing or printing

Examples of capitalization in a Sentence

Recent Examples on the Web But the sober demands of efficiency, capitalization and tight corporate management are driving a wave of mergers and acquisitions. Lisa M. Krieger, The Mercury News, 21 May 2024 Advertisement A lot of plays don’t earn back their capitalization. Ashley Lee, Los Angeles Times, 21 May 2024 See all Example Sentences for capitalization 

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'capitalization.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

Etymology

capitalize + -ation

First Known Use

1852, in the meaning defined at sense 1a

Time Traveler
The first known use of capitalization was in 1852

Dictionary Entries Near capitalization

Cite this Entry

“Capitalization.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/capitalization. Accessed 31 May. 2024.

Legal Definition

capitalization

noun
cap·​i·​tal·​i·​za·​tion ˌka-pət-ᵊl-ə-ˈzā-shən, -ᵊl-ī- How to pronounce capitalization (audio)
1
: the act or process of capitalizing
capitalization of earnings
2
: a sum resulting from a process of capitalizing
especially : paid-in capital at capital
inadequate capitalization
3
: total capital liabilities of a business including both equity capital and debt capital

Note: Equity capital is considered a liability because the investors may recall some or all of it (as by redeeming stock). Inadequate capitalization of a business is considered by courts in cases dealing with equitable subordination of creditors or piercing the corporate veil.

4
: the total par value or the stated value of no-par issues of authorized capital stock

More from Merriam-Webster on capitalization

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