Topics

• Net Worth

• Simple Interest

• Sales Tax

What is NET WORTH?

Net worth is a measure of how much money you have to your name, excluding your debts!

To find net worth, you add up all your assets (what you own) MINUS the total of your liabilities (what you OWE)

What is SIMPLE INTEREST?

• Interest is how your money earns money!

• When you put money in a bank account, it gains interest, so you get more money!

• When you take out a loan, it also gains interest, and you OWE more money.

• Interest rates tell you what PERCENTAGE of your money you earn each year!

• The formula is I = Prt

Sales Tax

• These questions are basically just calculating a percent of a number!

• Sometimes they ask for JUST the tax.

• Sometimes they ask for the TOTAL!

Items that you own!

• Jewelry

• Art

• Cash

• Vehicles (Paid off)

• Real estate (Paid off)

• Bonds

• Stocks

​Assets

Items that require payments:

• ​Credit Cards

• Loans

• Mortgage

• Anything that isn't paid off!

Liabilities