June 2012 Forms

The assetA valuable item which can be converted to cash by its owner., liabilityA financial debt or obligation owed to others. and net worth balance sheetAn itemized, mathematical presentation of an individual's net worth. This is determined by subtracting their liabilities from the current fair market value of their assets.: a financial yardstick to determine solvency

A balance sheetAn itemized, mathematical presentation of an individual's net worth. This is determined by subtracting their liabilities from the current fair market value of their assets. is a worksheet used to list in dollar amounts all the homeowner’s assets and liabilities to set the homeowner’s net worth (formula: assets minus liabilities equals net worth). It is an ideal tool to decipher a homeowner’s, and by extension the family’s, financial health. [See first tuesday Form 209-3]

The balance sheetAn itemized, mathematical presentation of an individual's net worth. This is determined by subtracting their liabilities from the current fair market value of their assets. analysis reveals whether the family is on track to meet long-term financial goals, or whether the family is insolvent and in need of a change in behavior – or assets. It also helps the family determine which assets they best spend their earnings on and should keep and which assets they should discard.

A balance sheetAn itemized, mathematical presentation of an individual's net worth. This is determined by subtracting their liabilities from the current fair market value of their assets. distinguishes the relation between two basic financial things, assets and liabilities. Assets are tangible and intangible property rights of value held by the homeowner. Among them are liquid assets which take the form of cash or something easily converted to cash and include money held in a savings account or tradeable stocks and bonds. [See first tuesday Form 209-3 §1 and 2]