The formula to calculate the Equity Value Per Share (EVPS) is:
\[ \text{EVPS} = \frac{\text{TE}}{\text{OS}} \]
Where:
Let's say the total equity (TE) is $1,000,000 and the number of outstanding shares (OS) is 50,000. Using the formula:
\[ \text{EVPS} = \frac{1,000,000}{50,000} = 20 \, \text{dollars} \]
So, the equity value per share is $20.
Definition: Equity value per share is the total equity value divided by the number of outstanding shares.
Formula: \( \text{Equity Value Per Share} = \frac{\text{Total Equity}}{\text{Number of Shares}} \)
Example: \( \text{Equity Value Per Share} = \frac{500000}{10000} \)
Definition: The calculation for equity value determines the total value of a company's equity.
Formula: \( \text{Equity Value} = \text{Total Assets} - \text{Total Liabilities} \)
Example: \( \text{Equity Value} = 800000 - 300000 \)
Definition: The number of equity shares is the total number of shares issued by a company.
Formula: \( \text{Number of Shares} = \frac{\text{Total Equity}}{\text{Equity Value Per Share}} \)
Example: \( \text{Number of Shares} = \frac{500000}{50} \)
Definition: Equity value is calculated by subtracting total liabilities from total assets.
Formula: \( \text{Equity Value} = \text{Total Assets} - \text{Total Liabilities} \)
Example: \( \text{Equity Value} = 700000 - 200000 \)
Definition: This calculator determines the value of each share based on total equity and the number of shares.
Formula: \( \text{Value Per Share} = \frac{\text{Total Equity}}{\text{Number of Shares}} \)
Example: \( \text{Value Per Share} = \frac{600000}{12000} \)
Definition: Shareholder equity is the residual interest in the assets of the company after deducting liabilities.
Formula: \( \text{Shareholder Equity} = \text{Total Assets} - \text{Total Liabilities} \)
Example: \( \text{Shareholder Equity} = 900000 - 400000 \)
