1. Start with the Opening Balance: Begin by noting the equity at the start of the period. 2. Add Net Income: Include the net income for the period, which reflects the profitability of the business. 3. Adjust for Dividends: Subtract any dividends distributed to shareholders. 4. Include Share Issuances and Buybacks: Add new share capital raised and subtract any shares bought back by the company. 5. Adjust for Other Comprehensive Income: Include items that affect equity but are not part of net income, such as changes in the value of investments.