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Net worth

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Net worth
The owner's Equity in a given business represented by the excess of total assets over the total amounts owed to outside creditors (total liabilities) at a given time.
    
Also, the net worth of an individual as determined by deducting the amount of all his personal liabilities from the total value of his personal assets. Generally refers to tangible net worth, i.e., does not include Goodwill, etc.
    
The basic business loan, a note represents a loan that Will be repaid or substantially

For a company, this is known as shareholders' (or owners') Equity and is determined by subtracting liabilities on the Balance Sheet from assets. For example, if a company has $45 million worth of liabilities and $65 million in assets, the company's net worth (shareholders' Equity) is $20 million ($65 million - $45 million).
    
Alternatively, let's say an individual has only three assets, $100,000 of Common Stock, $30,000 worth of bonds and title to a $190,000 house. Conversely they have only one liability, $150,000 owing on their mortgage. The individual's net worth would be $170,000 ([$100,000 + $30,000 + $190,000] - [$150,000]).
Posted by  Privatebanking.com
 
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