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9 results for “equity”

Formulae (9)

D/E = \frac{\text{Total Debt}}{\text{Equity}}

Leverage measure comparing debt to equity.

ROE = \frac{\text{Net Income}}{\text{Equity}}\times 100

Profit generated per dollar of equity.

Assets = Liabilities + Equity

The foundation of double-entry bookkeeping: everything a business owns is financed either by debt or by owners’ capital.

RE_1 = RE_0 + NI - Dividends

Cumulative profit kept in the business rather than paid out to shareholders.

D/E = \dfrac{Total\ Debt}{Total\ Equity}

Measures financial leverage by comparing borrowed funds to owner-supplied funds.

ROE = \dfrac{Net\ Income}{Shareholder\ Equity}

The profit generated for each dollar of shareholders’ equity.

BVPS = \dfrac{Equity - Preferred}{Shares\ Outstanding}

The net asset value backing each common share.

Assets = Liabilities + Equity

The fundamental balance-sheet identity.

RE = RE_0 + NI - Dividends

Accumulated profit kept in the business.