Difference between revisions of "Common stockholders' equity"
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| − | + | [[Common stockholders' equity]] (alternatively known as [[net worth of common stockholders' equity]]) is the capital supplied by common stockholders—capital stock, paid-in capital, [[retained earnings]], and (occasionally) certain reserves. Paid-in capital is the difference between the stock's par value and what stockholders paid when they bought newly issued shares. | |
==Definitions== | ==Definitions== | ||
According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]], | According to [[Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition)]], | ||
| − | : | + | :[[Common stockholders' equity]] ([[net worth of common stockholders' equity]]). The capital supplied by common stockholders—capital stock, [[paid-in capital]], [[retained earnings]], and (occasionally) certain reserves. Paid-in capital is the difference between the stock's par value and what stockholders paid when they bought newly issued shares. |
==Related concepts== | ==Related concepts== | ||
Latest revision as of 07:39, 9 November 2019
Common stockholders' equity (alternatively known as net worth of common stockholders' equity) is the capital supplied by common stockholders—capital stock, paid-in capital, retained earnings, and (occasionally) certain reserves. Paid-in capital is the difference between the stock's par value and what stockholders paid when they bought newly issued shares.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Common stockholders' equity (net worth of common stockholders' equity). The capital supplied by common stockholders—capital stock, paid-in capital, retained earnings, and (occasionally) certain reserves. Paid-in capital is the difference between the stock's par value and what stockholders paid when they bought newly issued shares.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
