One of the benefits of understanding how the income statement and balance sheet work together is that you can figure out missing pieces of information based on numbers elsewhere in the financial ...

When you want to get an idea of a company's financial condition, ratio analysis is one of the tools of the trade. In the following article, you'll learn about two useful balance sheet ratios: the debt ...

Stakeholders in a business need a way to conveniently assess the financial position of the firm. The balance sheet is a document designed to do just that. It provides a concise summary of everything a ...

The balance sheet provides a look at a business at a snapshot in time, often at the end of a quarter or year. In some cases, the accounts on the balance sheet -- assets, liabilities, and equity -- can ...

Return on equity, or ROE, tells investors how much in profit a company makes for every dollar it has in stockholder equity on its balance sheet. However, in some cases, the amount of stockholder ...

Know initial stockholders' equity from recent financial statements to track changes. Adjust equity for earnings, capital changes, dividends, and stock buybacks. Account for unusual gains like bond ...

Julia is a writer in New York and started covering tech and business during the pandemic. She also covers books and the publishing industry. With over a decade of editorial experience, Rob Watts ...

Retained earnings are a company's cumulative earnings since it began the business, minus any shareholder dividends that were issued. This figure represents stockholder equity that can be used for ...

One of the most useful metrics in assessing a company's profitability is earnings per share, and it can be calculated from information found on that company's balance sheet and income statement, two ...

Many investors focus on how much a company pays in dividends. Most companies report their dividends on a cash-flow statement or in a separate accounting summary in their regular disclosures to ...

Knowing how to calculate home equity gives homeowners a way to understand their home’s worth — and potentially liquidate it for their needs or wants. Your home equity is basically your home’s fair ...