2. Personal finance
2.08 Calculating net worth (Investigation)
Lesson
Objective
Calculate an individual's net worth
Vocabulary
Look up each of the terms below online and write a definition for each term. Be sure to use the terms below when you discuss the examples below with your classmates.
- Net worth:
- Assets:
- Liabilities:
Discussion question
Work with a partner to complete the table below. Determine whether each item listed should be considered an asset or a liability. Then use that information to determine Zorida's net worth. Present your findings to your class and explain how you were able to determine Zorida's net worth.
| Item | Value | Asset OR Liability? |
|---|---|---|
| Credit card debt | $6,020 | |
| Stocks | $12,750 | |
| Student loan | $12,500 | |
| Savings | $4,500 | |
| Home loan balance | $100,000 | |
| Car (fully paid off) | $10,000 |