InvestorsHub Logo
Followers 4
Posts 956
Boards Moderated 0
Alias Born 03/29/2007

Re: Tadaaa post# 173313

Thursday, 05/15/2008 12:27:13 AM

Thursday, May 15, 2008 12:27:13 AM

Post# of 246952
I hate to disagree with you, but I must in this case. Equity is critical to the balance sheet but it is assets less liabilities of course, which in my mind is a business' net worth at a given point in time. Earnings from the income statement, on the other hand, contributes to the net worth over time by way of retained earnings. I agree that both are very important.