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View Full Version : How to find stock issuances with assets, liablities, and net income


teemac_10
Jan 24, 2012, 10:25 AM
I've tried different ways to get the answer but they keep coming out wrong so can somebody tell me the formula for stock issuances?

pready
Jan 25, 2012, 07:41 AM
Assets = Liabilities + Owners Equity

Owners Equity = Stock issuances + Retained Earnings

Retained Earnings = Net Income - Dividends

since you already know Assets and Liabilities, you can solve for Owners Equity. Now subtract Net Income from Owners Equity and you have your stock issuances.