Shareholders' Equity
Shareholders' equity is the total amount of ownership investment in a company.
Shareholders' equity consists of all capital contributed to the entity, including paid-in capital and retained earnings.
In its most common form, shareholders' equity includes the shareholders' original investment plus those earnings of the corporation that have been retained for internal expansion rather than paid out to shareholders as dividends.
Shareholders' equity is the total amount of ownership investment in a company [Collins English Dictionary].
The term shareholder equity (SE) refers to a company's net worth or the total dollar amount that would be returned to its shareholders if the company is liquidated after all debts are paid off. SE is the owners' residual claim on assets after all debts are satisfied. Shareholder equity equals a firm's total assets minus its total liabilities. Retained earnings are part of shareholder equity, as any capital invested into the company. This metric allows analysts and investors to determine the value of company-related financial ratios, providing them with the tools to make better, more well-informed investment decisions.
Shareholders’ equity. Collins English Dictionary. Retrieved from: https://www.collinsdictionary.com/dictionary/english/shareholders-equity
What is Shareholder Equity (SE) and how is it calculated. Investopedia. Retrieved from: https://www.investopedia.com/terms/s/shareholdersequity.asp