Question

Shelly's assets include money in checking and saving accounts, investments in stocks and mutual funds, and personal property such as furniture, appliances, an automobile, a coin collection, and jewelry. Shelly calculates that her total assets are $165,200. Her current unpaid bills, including an auto loan, credit card balances, and taxes, total $21,300. Calculate Shelly's net worth.

Answer 1

Shelly's net worth is $143,900

Step-by-step explanation:

An individual's net worth is the net value of all the asset owned, when all the liabilities have been subtracted. It is simple the total of what is owned minus what is owed. Hence, for shelly:

Total assets = $165,200

Total liabilities = $21,300

∴ Net worth = 165,200 - 21,300 = $143,900