ECONOMICS
MONEY MANAGEMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
cash inflow
|
|
|
net worth
|
|
|
cash outflow
|
|
|
net income
|
Detailed explanation-1: -Your net worth is the difference between what you own and what you owe. This figure is your measure of wealth because it represents what you own after everything you owe has been paid off. If you have a negative net worth, this means that you owe more than you own.
Detailed explanation-2: -Assets include the value of securities and funds held in checking or savings accounts, retirement account balances, trading accounts, and real estate. Liabilities include any debts the individual may have including personal loans, credit cards, student loans, unpaid taxes, and mortgages.
Detailed explanation-3: -Net worth is the total value of assets minus any liabilities or debt. Net worth can be a helpful snapshot of a person’s or company’s wealth. Positive net worth might be a sign of good financial health. Negative net worth might be a sign of poor financial health.
Detailed explanation-4: -Net worth is the value of all assets, minus the total of all liabilities. Put another way, net worth is what is owned minus what is owed.