7
QuizMultiple Choice

Understanding Net Worth — Quiz

Question 7 • Economics and Personal Finance

Enzo’s balance sheet for the month of July is shown. Enzo’s Balance Sheet (July 2013) Assets Liabilities cash 600 dollars credit card 4 dollars comma 000 investments 500 dollars student loan 2 dollars comma 500 house 120 dollars comma 000 mortgage 80 dollars comma 000 car 6 dollars comma 000 car loan 2 dollars comma 000 Total 127 dollars comma 100 Total 88 dollars comma 500 Which expression finds Enzo’s net worth?

Answer
A
127 dollars comma 100 minus 88 dollars comma 500
B
88 dollars comma 500 plus 127 dollars comma 100
C
88 dollars comma 500 minus 127 dollars comma 100
D
127 dollars comma 100 divided by 88 dollars comma 500

Explanation

Net worth is calculated by subtracting total liabilities from total assets. Enzo’s assets total $127,100 and his liabilities total $88,500, so the expression is $127,100 − $88,500. Choice A gives this calculation.

AI-written and checked against the verified answer.

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