## Introduction

Contributed capital is a vital financial metric used to assess a company’s financial health. This HTML calculator makes it easy to determine the contributed capital by simply entering the total equity and retained earnings. Here’s how to use it:

## How to Use

- Enter the total equity in dollars.
- Enter the retained earnings in dollars.
- Click the “Calculate Contributed Capital” button to obtain the contributed capital value instantly.

The formula to calculate Contributed Capital is as follows:

## Formula

Contributed Capital (CC) = Total Equity (TE) – Retained Earnings (RE)

Now, let’s go through an example to illustrate how to use this calculator.

## Example

Suppose a company has a total equity of $50,000 and retained earnings of $20,000. To calculate the contributed capital, you would use the formula:

Contributed Capital (CC) = $50,000 – $20,000 Contributed Capital (CC) = $30,000

So, the contributed capital for this example is $30,000.

## FAQ’s

**Q: What is contributed capital?**

**A:** Contributed capital represents the total amount of capital contributed by shareholders or investors to a company.

**Q: Why is contributed capital important?**

**A:** Contributed capital is important because it shows how much money shareholders have invested in the company, which can be used for growth and expansion.

**Q: Can I use this calculator for personal finance?**

**A:** This calculator is primarily designed for business and financial purposes, but you can use it for personal finance calculations if you find it relevant.

## Conclusion

The Contributed Capital Calculator simplifies the process of determining the contributed capital of a company. By entering the total equity and retained earnings, you can quickly assess the financial health of your business. Whether you’re a financial analyst, business owner, or investor, this calculator can help you make informed decisions about your investments.