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hello everyone hi welcome to the channel of WallStreetmojo watch the video till the end and also if you are new to the channel then you can subscribe us by clicking the bell icon friends today were going to learn a concept which is known as equity multiplier well to understand this we need to get into the nitty-gritty of the same the purpose of the equity multiplier the e/m is to see how much the assets of a company are financed by its total shareholder as you can say a total shareholders equity so that we can find out how much assets of the company are financed by the external source of Finance right so in this tutorial well have a closer look at the ratio and how exactly it works lets have a look now there is one graph that is available to you Facebook assets to shareholders equity ratio and you have GoDaddys assets to shareholders equity ratio we see this is one of the financial leverage the equity multiplier is one of the financial leverage ratio busy basically it helps in inve