Question

. Megan has $500 in short-term savings, $5,000 in her retirement savings account, $1,500 in credit card debt, and student loan debt of $7,500. Assuming that these are all of Megan's assets and liabilities, what is Megan's net worth?

Answer 1

Debt is part of a liability because it is something that Megan owes. To find the assets and liabilties Megan owes, add up all of the debt and savings she has to figure out her net worth. $500 + $1,500 + $5,000 + $7,500 = $14,500. Megan's total net worth is $14,500.

Answer 2

$5,500 I simply added her savings.
The other items are debts that she owes.