what is stockholders equity 
stockholders equity is the remaining assets available to shareholders after all liabilities are paid it is calculated either as a firm s total assets less its total liabilities or alternatively as the sum of share capital and retained earnings less treasury shares stockholders equity might include common stock paid in capital retained earnings and treasury stock conceptually stockholders equity is useful as a means of judging the funds retained within a business if this figure is negative it may indicate an oncoming bankruptcy for that business particularly if there exists a large debt liability as well investopedia michela buttignol