The market value equity of 1.5 billion.

So the asset value is all in equity.

It's the market's value of the owner's equity

This is 120,000 in equity, market value of equity, he has another 105,000 in liabilites.

You have 189,000 as the value of this equity.

There's two notions, there's your book value of equity, and that's the value of the equity that comes out of your balance sheet.

Because the book value of its equity is 5 million.

And the denominator here is the equity, the book value of our equity, so that's 5 million.

Then the number that pops out on the equity side, that is a book value of your equity.

So the shareholders' equity, or you could almost say the book value of the equity of the company, is 5 million. 5 million equity.

And then, that gets you to the market value the equity.

They just look purely at the equity value or the market capitalization.

This is the market's guess of the value of this company's equity.

In our case, the book value of the equity was 5 million.

Equity is what's left over. So let's say this is all book value.

We're willing to say that the market value of your equity is 210,000.

I think that's what I wanted a write here, market value of equity.

And book equity per share, or the book value per share of 6.00.

So that's why the book value of the equity is now 2 billion.

By applying the same price to earnings, we're saying that the market value of this equity is 210,000, while the market value of this equity is what was it? 189,000.

So equity.

Equity tranche.

That's equity.

CDOs that they have on their balance sheets is the larger than their equity value.

Notice, the book value of my equity, well it might have changed a little bit.

And now the book value of our equity is now going to be 2 billion.

In the last several videos we talked about the difference between the book value and the market value of a company's equity.

And this is the market value of the equity, what the market thinks the equity's worth.

That's my equity.

liabilities plus equity.

This was equity.

left for equity.

liabilities plus equity.

What's my equity?

That's my equity.

liabilities plus equity.

That's my equity.

And this is called the equity, or the owners' equity.

So he owns it outright so all of the 100,000 of asset value is actually his equity.

And the equity holders get wiped out, the old equity holders.

Essentially when the market price of my asset dropped, all of that value came out of my equity.

So, remember, assets are equal to liabilites plus shareholder's equity, so if all of a sudden the market value of the equity, the market capitalization, for Ben's shoe company is 215,000... (That is the equity part right over here)

Sometimes called stockholders' equity.

It's all his equity.

This is the equity...