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Community: Investing Wiki

Term Of The Hour

stockholders' equity categories: Original post by Cam Merritt of Demand Media A company's stockholders are literally the owners. And on the company's balance sheet, "stockholders' equity" lays out exactly what it is that they own -- the value of the company after subtracting all its debts and obligations. The bulk of stockholders' equity falls into two broad categories: paid-in capital and retained earnings.

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