Equity Ratio
Equity Ratio Formula |
\( E \;=\; \dfrac{ E_t }{ A_t } \) |
Symbol |
\( E \) = equity ratio |
\( A_t \) = total assets |
\( E_t \) = total equity |
Equity ratio, abbreviated as E, measures the value of the asses which are financed using the owner's equity.