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Post# of 797406
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jeddiemack

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jeddiemack

Re: Donotunderstand post# 411853

Tuesday, 05/16/2017 8:45:18 PM

Tuesday, May 16, 2017 8:45:18 PM

Post# of 797406


Okay,

Assets = Liabilies + Equity

Equity = Common Stock + Preferred Stock + Retained Earnings

Retained Earnings is cummulative (Income - Expenses)

So on a quarterly basis...

Income - Expenses = part of equity.

NWS = NET WORTH


Net worth = Assets - Liabilities.

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