Assets, Liabilities and Net Worth

Allen has come to you for help preparing personal financial statements. He presents you with the following facts. His assets and liabilities include:

$2,000 in a Credit Union Checking account

$3,000 in a Credit Union Savings account

$12,000 in a Brokerage account

Real Estate Investment Trust (Private Partnership) purchased for $12,000, where current market value is $7,500

With his employer he has a 401K with a balance of $20,000.

Life Insurance with a $250,000 death benefit and a cash value of $14,000

A home purchased for $160,000 with a mortgage balance of $140,000, currently worth $180,000.

A boat worth $8,000.

A car purchased for $37,500 where the current blue book value is $28,000 and he owes $18,000 on his auto loan

In addition to the assets above, Allen has a credit card balance of $1,950 and a balance of $40,000 outstanding on a student loan.

NET WORTH STATEMENT
ASSETS					LIABILITIES
Cash/Cash Equivalents					Liabilities
Checking account	$	-			Credit card balance	$	-
Credit Union Savings Account		-			Student Loan Debt		-
Money Market Account		-			Auto note balance		-
Life Insurace Cash Value		-			Mortgage Balance		-
Total Cash/Cash Equivalents			-		Total Liabilities		-
Invested Assets
Stock portfolio		-
Business		-
IRAs		-
401k or Vested Pension		-
Total Invested Assets			-		TOTAL LIABILITIES		-
Use Assets
Residence		-			NET WORTH		-
Automobiles		-
Personal property		-
Total Use Assets			-
TOTAL ASSETS			-		TOTAL LIABILITIES AND NET WORTH		-