Accounting Definitions 

Absolute priority

 is the rule that secured claims are paid in full before junior claims when a corporation liquidates. To extend the concept further, equity holders are only paid after all creditors, since equity is considered to be the residual value of the business. This rule is applied in a Chapter 7 bankruptcy, to determine how much of a firm's net assets will be distributed to each claimant. When the business is instead reorganized in a Chapter 11 filing (so that it will continue in operation after exiting bankruptcy), the absolute priority rule is not so rigidly followed.

Accident Year Data - 

a method of arranging loss and exposure data of an insurer or group of insurers or within a book of business, so that all losses associated with accidents occurring within a given calendar year and all premium earned during that same calendar year are compared.

Accretable Yield - 

The amount of expected cash flows that. exceed the initial investment in the loan. + Recognized as interest income on a level yield basis over the. life of the loan.