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Stockholders Equity is calculated through different methods and Formulas. In the previous article, We already studied about “ How To Calculate Stockholders Equity ”. In this article, Stockholders Equity was calculated by preparing Statement of Stockholders Equity. If you don’t read this article, then you can study this article as well in order to get better understanding of this particular topic. You may also be interested in “ What is Owners’ Equity ” Stockholders Equity is the Rights of Shareholders who invested in the company’s business. Stockholders Equity is Calculated Through Accounting Equation Or Shares Capital, Reserves, Shares Premium, Retained Earnings, Net Income / Net Loss or Net Profit / Net Loss and other Dividends. Mathematically, we can write as:                                                     ...

Stockholders Equity Meaning:     First of all, we need to know, “what is stockholders equity”, then you can easily calculate it on Balance Sheet or From Statement of Stockholders Equity.     Stockholders Equity is simply the Equity that shows the rights of Stockholders (owners) in the corporation business. It is the same as in case of Sole Proprietorship ( Owners’ Equity ) or in case of companies (Equity) but to show differentiation , this word is specially used in case of Corporation Business, that is much larger company business.     If you don’t know about, “ Statement of Changes In Equity ”, then read out this article as well to get better understanding the formula.       How to calculate stockholders Equity On Balance Sheet Stockholders Equity Formula: Assets - Liabilities = Stock holders Equity       It is the same Formula as show i...