Stockholder's equity

Definition:

The residual claims that stockholders have against a firm's assets, calculated by subtracting all current liabilities and debt liabilities from total assets.

Investing Essentials


Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University

Term of the Day

Annual meeting

Meeting of stockholders held once a year at which the managers of a company report to the stockholders on the year's results.

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