What is Foolsaurus?

It's a glossary of investing terms edited and maintained by our analysts, writers and YOU, our Foolish community. Get Started Now!


Owners' equity

Owners' Equity is a term found on the balance sheet reflecting the Owner's stake in a public company

Contents

Expanded Definition

-from Fool Article Finishing the Balance Sheet

" If you look at a company from a balance sheet perspective, it belongs to two parties: its owners and its creditors. Therefore, when you subtract the creditors' equity (liabilities) from total assets, what's left over is owners' equity. Owners' equity includes preferred stock, common stock, additional paid-in capital, treasury stock, retained earnings, appropriated retained earnings, and foreign currency translation adjustment. "

Related Fool Articles

Finishing the Balance Sheet

Related Community Blogs

Related Terms

Recent Mentions on Fool.com

Advertisement