How to calculate stockholders equity?

[Samuel]

Hi all, I’m learning about company finances and came across the term stockholders’ equity. I know it’s related to the value left for shareholders, but I’m confused about how to actually calculate it. Is there a simple formula or method to figure it out? Any examples would help. Thanks!

 

[Mayank]

Stockholders’ equity is calculated by subtracting total liabilities from total assets on a company’s balance sheet. Alternatively, it equals share capital plus retained earnings minus treasury stock. This value represents owners’ residual interest in the company’s net assets.