equity investments

An equity investment is money that is invested in a company through the purchase of its shares and which is not returned in the normal course of the business. So, the equity investments were made to contribute to an organization we wholly believe in. The funds raised might be used to develop new products and technologies, expand working capital, make acquisitions or strengthen a company's balance sheet. The value of the stock depends on the corporation's future economic prospects as shareholders' equity is obtained by subtracting total liabilities from the total assets of the shareholders. When the owners are shareholders, the interest can be called shareholders' equity; the accounting remains the same, and it is ownership equity spread out among shareholders. Hlotse, Lesotho

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