How To Calculate Book Value Per Share Formula
Book value per share 25 000 000 5 000 000 10 000 000.
How to calculate book value per share formula. When corporate finance institute. Given stock holders equity 2000000 preferred stock 500000 total outstanding shares 300000. Roe is net income divided by stockholder s equity.
Book value per share formula bvps dfrac total. The book value per common share formula below is an accounting measure based on historical transactions. While this is usually found on a balance sheet it is helpful to know how to retrieve this value yourself.
Book value per share is also used in the return on equity formula or roe formula when calculating on a per share basis. To find book value per ordinary share solution. Bvps frac total shareholder equity preferred equity total outstanding.
Book value per share 2. Here s the price to book value formula. The equity is the total number of assets after liabilities are subtracted.
The book value per share bvps is calculated by taking the ratio of equity available to common stockholders against the number of shares outstanding. Outstanding the formula requires you to know the company s total equity. This shows anand group of a company have the book value per share of 2.
The formula for calculating the book value per share of common stock is. Therefore the calculation of book value per share will be as follows bvps total common shareholders equity preferred stock number of outstanding common shares 2 93 491 00 cr 592 18 cr. You can use this book value calculator.