Equity ratio
Shareholders' equity divided by total assets, as a percentage. A higher ratio means the owners' capital, rather than debt or other liabilities, funds more of the balance sheet.
Formula: Equity ratio = Equity / Total assets
Shareholders' equity divided by total assets, as a percentage. A higher ratio means the owners' capital, rather than debt or other liabilities, funds more of the balance sheet.
Formula: Equity ratio = Equity / Total assets