Grade Details - All Questions Question 1. Question :

(TCO A) Jean and Jim have liquid assets of $3,600 and other assets of $42,800. Their total liabilities equal $26,000. What is their net worth? (Show all work.)
Total Assets $46,400 Less: Total Liabilities 26,000 Equal: Net Worth $20,400 Liquidity: $3,600 +Other Assets: $42,800 Total Assets: $46,400 -Total liabilities: $26,000 Net Worth: $20,400

Student Answer:

Instructor Explanation:

Total Assets $46,400 Less: Total Liabilities 26,000 Equal: Net Worth $20,400

Points Received: Comments:

10 of 10

Question 2. Question :

(TCO A) Construct a balance sheet from the following information. Be sure the format is correct. (Show all work.) Cash on hand 1,000 Bank credit card balance 1,200 Auto loan balance 13,500 Mortgage 175,000 Primary residence 205,000 Jewelry 2,000 Stocks 17,500 Coin collection 2,500 2009 Honda 20,000
Cash on hand $1,000 Stocks $17,500 Honda $20,000 Home $205,000 Jewelry $2,000 Coin Collection $2,500 Total Assets $248,000 Credit Cards $1,200 Auto Loan $13,500 Mortgage $175,000 Total Liabilities $189,700 Net Worth $58,300

Student Answer:

Instructor Explanation:

Assets: Cash on hand 1,000 Primary residence 205,000 2009 Honda 20,000 Jewelry 2,000 Stocks 17,500 Coin Collection 2,500 Total Assets $248,000 Net Worth $58,300

Liabilities:

Bank credit cards 1,200 Auto loan 13,500 Mortgage 175,000 Total Liabilities $189,700

Points Received: Comments:

20 of 20

Question 3. Question :

(TCO A) The following questions are worth 5 points each. Please show all work. a. Inflation is expected to average 4% for the long term and Mr. Smith earned $74,000 this year, how much must he earn in 20 years just to keep up with inflation and maintain the balance between his income and his increasing expenditures? b. Jamie wants to have $2,000,000 for her retirement in 25 years. How