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In business, net worth (sometimes called net assets) is the total assets minus total outside liabilities of an individual or a company. For a company, this is called shareholders' preference and may be referred to as book value. Net worth is stated as at a particular year in time. In the case of an individual, the term estate is used in relation to deceased individuals in probate. For businesses, the term is used in the context of fraudulent law and on the dissolution of the company.

In personal finance, net worth (or wealth) refers to an individual's net economic position; similarly, it uses the value of all assets (long term assets) minus the value of all liabilities.

Net worth in business is generally based on the value of all assets and liabilities at the carrying value which is the value as expressed on the financial statements. To the extent items on the balance sheet do not express their true (market) value, the net worth will also be inaccurate.

Net worth in this formulation is not an expression of the market value of the firm: the firm may be worth more (or less) if sold as a going concern.

On reading the balance sheet, if the accumulated losses exceed the shareholder's equity, it is a negative value for net worth.

See also[edit]



Original courtesy of Wikipedia: http://en.wikipedia.org/wiki/Net_worth — Please support Wikipedia.
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24092 news items

Indian Express

Indian Express
Wed, 19 Jun 2013 05:13:55 -0700

World Wealth Report According to the World Wealth Report 2013, released by Capgemini and RBC Wealth Management, the investable wealth of the world's High Net Worth Individuals (HNWIs) rebounded in 2012. Reuters ...
 
Moneycontrol.com
Wed, 19 Jun 2013 04:49:38 -0700

A simplistic understanding of net worth is it is asset minus liability. So for a typical family, assets will include investments, which might be in fixed deposits of banks, in mutual funds, in shares. We, in fact, as a financial planner encourage even ...
 
Firstpost
Wed, 19 Jun 2013 08:30:00 -0700

The world is home to 1.2 crore millionaires with collective net worth reaching a record high of USD 46.2 trillion, with India clocking the second highest growth of 22.2 per cent in its High Net Worth Individuals (HNWIs) population last year after Hong ...
 
Huffington Post
Mon, 17 Jun 2013 14:07:37 -0700

Few are as beloved and respected in the business arena than Porter Gale. She has one of the best strategic minds in her field, and thankfully, will have much wider appeal by this time next year. The consummate social media insider, she helped grow the ...
 
New York Times
Fri, 14 Jun 2013 05:39:18 -0700

Younger Households Are Slower to Make Gains in Net Worth. By FLOYD NORRIS. Published: June 14, 2013. THE total wealth of American households has recovered from the financial crisis and Great Recession, according to the Federal Reserve Board.
 
Seeking Alpha
Sun, 16 Jun 2013 17:10:55 -0700

I don't think I'd surprise anyone by suggesting that I'm a fan of Warren Buffett's investing philosophy. If I had to guess, I'd say around half of my Seeking Alpha articles make some mention of him, I regularly quote tidbits of his wisdom and in ...
 
Manila Standard Today
Tue, 18 Jun 2013 09:07:31 -0700

Associate Justice Mariano del Castillo is the richest Supreme Court Justice with a total net worth of 108,904,000, while Associate Justice Arturo Brion had the lowest net worth of “only” P1,498,000. Chief Justice Ma. Lourdes Sereno, meanwhile, had a ...

Philly.com

Businessweek
Thu, 06 Jun 2013 13:00:49 -0700

Americans' wealth continued its snapback from the financial crisis in the first quarter, according to data released Thursday by the Federal Reserve. Household net worth jumped by $3 trillion, to $70 trillion, in the quarter, helped by strength in both ...
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