Book Value Of Equity Shareholders
Book value of equity per share bvps is the ratio of equity available to common shareholders divided by the number of outstanding shares.
Book value of equity shareholders. Book value of equity meaning the book value of equity more widely known as shareholder s equity is the amount remaining after all the assets of a company are sold and all the liabilities are paid off. When compared to the current market value per share the book value per share can provide information on how a company s stock is valued. Book value of equity per share abbreviated as bvps is a company s available equity to common shareholders apportioned by the number of outstanding common shares.
Book value of equity. This figure represents the minimum value of a company s. The book value of equity is equal to total assets minus total liabilities preferred stocks and intangible assets.
Book value of equity represents the fund that belongs to the equity shareholders and is available for the distribution to the shareholders and it is calculated as the net amount remaining after the deduction of all the liabilities of the company from its total assets. Book value of equity also known as shareholder s equity is a firm s common equity that represents the amount available for distribution to shareholders.