Shareholders' Equity = Share Capital + Retained Earnings – Treasury Stock. The share capital method is sometimes known as the investor's equation. The above formula sums the retained earnings of the business and the share capital and subtracts the treasury shares.
Shareholders' Equity = Total Assets – Total Liabilities Take the sum of all assets in the balance sheet and deduct the value of all liabilities.
Shareholders Equity = Total Assets – Total Liabilities.
The BVPS is calculated by dividing a company's common equity value by its total number of shares outstanding: For example, assume company ABC's value of common equity is $100 million, and it has shares outstanding of 10 million. Therefore, its BVPS is $10 ($100 million/10 million).
Total equity is the value left in the company after subtracting total liabilities from total assets. The formula to calculate total equity is Equity = Assets - Liabilities.
The balance sheet provides the values needed in the equity equation: Total Equity = Total Assets - Total Liabilities. Where: Total assets are all that a business or a company owns.