can you do this problem?

Question

Jim has a $130,200 home with a $109,146 mortgage. He has $5,611 in savings and an additional $4,511 in a mutual fund account. He owes $7,644 on his car and $2,573 on his credit card. What is Jim's net worth?

Answer 1

Before you or any one can figure net worth several questions must be answered
1. What will the home sell for on the open market.Then you must factor in all selling and closing cost. amount then subtract the amount owed on the home. from the adjusted selling price. That will give you the net profit before taxes.
2.The cash is easy to figure
3. The car to find the net worth is to find its actual resale value the subtract the amount owed.

Now some banks look at net worth as the value of your property
and do not factor in the amount owed against it
In this case you must know the value of the home ,car and the cash on hand add all of these together and you have your total net worth.Then subtract all other outstanding debts from that amount

Answer 2

Hey,

$20959

Because:
$130200 - $109146 = $21054 net + $5611 + $4511 = $31176
$31176 - $7644 - $2573 = $20 959 total net

hope this helps

Tarkin77

Answer 3

i believe this is how you do it...

0 - 130200 - 109146 + 5611 + 4511 - 7644 - 2573 = -239441

so if my calculations are correct, his net worth should be -$239,441.