How to Calculate Equity Multiplier?
Equity Multiplier calculator uses equity_multiplier = Total Assets/Total Shareholders' Equity to calculate the Equity Multiplier, The equity multiplier is a financial leverage ratio that measures the amount of a firm's assets that are financed by its shareholders by comparing total assets with total shareholder's equity. Equity Multiplier and is denoted by EM symbol.
How to calculate Equity Multiplier using this online calculator? To use this online calculator for Equity Multiplier, enter Total Assets (TA) and Total Shareholders' Equity (TSE) and hit the calculate button. Here is how the Equity Multiplier calculation can be explained with given input values -> 833.3333 = 100000/120.