How to calculate liabilities when network and assets is given

1 answer

To calculate liabilities, you need to subtract the total value of assets from the network if the network is greater than the assets. This would indicate that the liabilities exceed the assets.

The formula to calculate liabilities is:

Liabilities = Network - Assets

For example, let's say the network is $100,000 and the total value of assets is $80,000.

Liabilities = $100,000 - $80,000
Liabilities = $20,000

In this case, the liabilities would be $20,000.