(plural foundries) 1  A facility that melts metals in special furnaces and pours the molten metal into molds to make products. Foundries are usually specified according to the type of metal dealt with: iron foundry, brass foundry, etc. 2  The act, process, or art of casting metals; founding.
Funds raised by issuing shares in return for cash or other considerations. The amount of share capital a company has can change over time because each time a business sells new shares to the public in exchange for cash, the amount of share capital will increase.
Shareholder equity can come from capital directly invested by shareholders or from net income generated by the company for reinvestment (also known as 'retained earnings'). Shareholder equity is also known as 'stockholder's equity', 'share capital' and 'net worth'. Use the performance ratios: return on equity, return on capital employed, return on assets. You haven't attempted the quiz yet.