Similarly, a “business equity” or “company equity” is the value of the company less all of its liabilities. “Equity” is the net value of an asset once all debt or liabilities on the asset are deducted or taken out...
Companies need to know their receivables turnover since it is directly tied to how much cash they have available to pay their short-term liabilities. Companies with more complex accounting information systems may be able to easily extract its average...
E.g., buyback of shares, the new issue of shares, share dividend, stock split, conversion of warrants, etc. Thus, while calculating Earnings per Share, the Company needs to find the weighted average number of shares outstanding. It incorporates all such...