Financing
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      What is Equity?

      It reflects the ownership value and the financial stake that shareholders hold in the business.

      Equity includes various components such as:

      Common stock, preferred stock, additional paid-in capital, and retained earnings.

                       ✍️  Equity = Total Assets - Total Liabilities.

       

      👀 Changes in Equity can occur due to factors such as issuing new shares, repurchasing shares, distributing dividends, and the company's net income or losses.