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Change in Shareholder's Equity

Using the GM annual report can you explain change in equity for the most recent year. (using the statement of shareholder's equity)

http://finance.yahoo.com/q/is?s=GM&annual

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Please refer to attached response, which is also presented below. It would be best to see the attached response. I hope this helps and take care.

1. Using the GM annual report can you explain change in equity for the most recent year (using the statement of shareholder's equity) http://finance.yahoo.com/q/is?s=GM&annual.

Unfortunately, in addition to the income statement for GM, we need the balance sheet in order to make the comparison or to explain the change in equity for the most recent years. It is the Balance Sheet that records the equity accounts on the right hand side, which include both the liabilities (creditor's equity) and capital (owner's or shareholder's equity). In contrast, the statement of shareholder's equity only speaks to the capital or shareholder's equity.

As an example ...

Solution Summary

This solution explains the change in equity for the most recent years using an illustrative example (e.g. using the statement of shareholder's equity located in the annual report).

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