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Equity Multiplier Calculator

LAST UPDATE: September 1st, 2018

Calculator

What is the Equity Multiplier?

The equity multiplier is the ratio of total assets to stockholder’s equity.

Formula

Equity Multiplier =  Total Assets / Stockholder’s Equity

Example

A company has total assets of $7,000 and stockholder equity of $1,750.

Equity Multiplier = $7,000 / $1,750 = 4

Therefore, this company has an equity multiplier of 4.000.

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