Key Points
The business's net worth (equity) is the amount by which its assets' value exceeds its liabilities'..
The formula for computing net worth is Assets - Liabilities = Net Worth..
The greatest strategy to raise net worth is to either decrease liabilities while assets increase or remain constant or to increase assets while liabilities decrease or remain constant...
Basically, a person's net worth is the amount that remains after deducting liabilities from assets..
Keep in mind that the current market value of assets and the cost of existing liabilities are included in the calculation of personal net worth...
