Question

What does the term "equity" represent in accounting?


What does the term "equity" represent in accounting?


The total liabilities of a company.


The total assets of a company.


The ownership interest in a company.


The expenses incurred by a company.

Answer 1

The ownership interest in a company. Equity in accounting represents the owner's stake in the business assets after all liabilities have been deducted. It includes common stock, retained earnings, and additional paid-in capital.

Answer 2

FROM RSPONESES ONLY

Answer 3

The ownership interest in a company. Equity in accounting represents the owner's stake in the business assets after all liabilities have been deducted. It includes common stock, retained earnings, and additional paid-in capital.