Equity accounting is a method of reporting a company's profits from the operations of an affiliated company that it has an interest in but does not own outright.

When one company has an interest in another company it has equity in that company. Under certain circumstances, the appropriate way for the company to account for that investment on its own books is ...

Simply put, equity describes an investor's direct ownership interest in an asset, excluding all other claims. A familiar example is home equity, which is the value of your home after you subtract ...

Stafford, Erik. "Replicating Private Equity with Value Investing, Homemade Leverage, and Hold-to-Maturity Accounting." Review of Financial Studies 35, no. 1 (January 2022): 299–342.