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.

 

[lara]

The equation that is used to establish the stockholders equity is:

Stockholders Equity = Stockholders total assets minus the stockholders total liabilities.

It is the claim of a proprietorship after deduction of debts. You can also calculate it as:
Equity = Share Capital + Retained Earnings less Treasury Stock.

It is a demonstration of the net worth or book value of a company.

 

[Emly]

Stockholders’ Equity = Total Assets – Total Liabilities


It represents the owners’ claim on the company after all debts are paid. You can also calculate it by adding common stock, preferred stock, additional paid-in capital, retained earnings, and treasury stock (subtracted).