The formula for ROE is similar to the ROA formula, except that you divide by equity instead. Continuing our Wells Fargo example, we can determine that the bank's five-quarter average equity is ...

A balance sheet includes a summary of a business’s assets, liabilities, and capital. Learn what a balance sheet should include and how to create your own.

Accounting Rules for Capitalizing Assets. The cost of an asset with a useful life greater than one year can be spread over a period of time using depreciation. The asset will show up on the ...

This study evaluates the association between the market value of banks' common equity and fair value estimates disclosed under Statement of Financial Accounting Standards No. 107, "Disclosures about ...