Shareholders' Equity on a Balance Sheet Explained

What is shareholders' equity, and why is it important in financial analysis? In this video, we break down the shareholders' equity section of the balance sheet and explain how it reflects a company's net worth after liabilities are deducted.

Topics covered:
- How common shares and share capital work.
- What shareholders' equity represents in a business.
- The role of retained earnings and how they grow or shrink.
- How net income and dividends impact shareholders' equity.
- The fundamental equation: Assets - Liabilities = Shareholders' Equity.

This video is perfect for anyone looking to understand financial statements, whether you're an investor, accountant, or finance student.

#Equity #BalanceSheet #Shareholders

[MsSimpleMovies]

This is SO helpful. Thank you very much.

[LeharG]

What will be accounting entry
Share capital of company but money not deposited in company account.
Will it be same entry like normal entry
Cash/Bank
To Share capital

Note: Cash ( Capital Amount) not received in Business.

[emilyveneranda]

stock holders check acount but not post dated or tal ong ang check y ng inesio mo