Asked by idk

In this section, you’ll explore the components of net worth and how to calculate it.

You’ve been working for a while now, and you want to be smart about saving money for the future. Your brother tells you that you can measure your progress by calculating your net worth.

You research about net worth and find the following formula:

Net Worth = Assets – Liabilities

You currently have a checking account, a used car, and a laptop. You also owe $275 on a loan that you took out to buy your cell phone. Which of these is a liability?
Question 1 options:

Cell phone loan


Your checking account


Value of your car


Cost of your laptop

All Answers 1

Answered by GPT-5 mini AI
Cell phone loan

A liability is something you owe (a debt), and the $275 loan for your cell phone is a liability.