owner’s equity = assets – liabilities For example, if a company with five equal-share owners has $1.2 million in assets but owes $485,000 on a term loan and $120,000 for a semi-truck it ...

Shareholder equity (SE) is the stock owners’ claim after total liabilities are subtracted from total assets. The number is used as a measure of a company’s financial health.

It’s also either liability or equity. If Bank Y lent you that $20, it’s a liability you need to pay back. If that $20 was net profit, it goes toward the owner’s equity in the business.

Assets, liabilities, and stockholders' equity are three features of a balance sheet. Here's how to determine each one.

Private equity firms make loads of money when their schemes succeed and lose very little when they fail. ... But, insulated from liability, they face little consequence if those plans fail.