Net assets equal shareholders' equity.
Shareholders' equity accounts denote the ownership interests of shareholders
Ownership interests of shareholders arise primarily from two sources: (1) amounts invested by shareholders in the corporation and (2) amounts earned by the corporation on behalf of its shareholders. These two sources are reported as (1) paid-in capital and (2) retained earnings.
Assets minus Liabilities equals Shareholders' Equity.
The primary source of paid-in capital is the investment made by shareholders when buying preferred and common stock.
Several other events also affect paid-in capital.
Retained earnings represents earned capital.

Accumulated Other Comprehensive Income
• LO18–2
Comprehensive income includes net income as well as other gains, losses, and other adjustments that change shareholders' equity but are not included in traditional net income.
Comprehensive income extends our view of income beyond net income reported in an income statement to include four types of gains and losses not included in income statements: 1. Net holding gains (losses) on investments. 2. Gains (losses) from and amendments to postretirement benefit plans. 3. Deferred gains (losses) on derivatives. 4. Adjustments from foreign currency translation.
OCI shares another trait with net income. Just as net income is reported periodically in the income statement and also on a cumulative basis as part of retained earnings, OCI too, is reported periodically in the statement of comprehensive income and also as accumulated other comprehensive income (AOCI) in the balance sheet along with retained earnings. In other words, we report two attributes of OCI: (1) components of comprehensive income created during the reporting period and (2) the comprehensive income accumulated over the current and prior periods.
OCI is reported in the statement of comprehensive