Question

2. Balance sheet - Net worth and interpreting the data The following is a partial balance sheet for Andy and Kim Garza. Complete the balance sheet by determining their total assets, total current liabilities, long-term liabilities, and net worth. Balance Sheet Name(s): Andy and Kim Garza Date: December 31, 2012 Assets Liabilities and Net Worth Current Liabilities Liquid Assets Cash Checking Electric $350.17 $195.75 215.33 244.69 Water 150.07 Savings Insurance premiums Total Liquid Assets: $655.77 1,125.00 Mortgage 833.33 750.38 Investments Retirement funds, IRA Total Investments: $1,063.13 MasterCard 650.33 $1,063.13 Total Current Liabilities: Long-Term Liabilities Real Property Primary residence $162,000.00 Primary residence $39,999.84 mortgage $162,000.00 Total Long Term Total Real Property:

Answer 1

Balance sheet December 31, 2012 Assets I I Iliabilities Liquid Assets Current Liabilities 195.75 Eletric 350.17 checking 215.33 water 150.07 savings 244.69 Dorrank pressium 250.13 tal Liquid Asset 655.77 Taxes 1125 martgage 1833.33 Investments Auto 1750.38 - Retirement fonds 1063.13 master card 650.33 | IRA Total Investment 1063.13 Total current 14109.401 ulabilities Recal property prime residence 162000 Liabilities: long term liabiliter Total Real Property 1162000 primary Residener I'm artaage 3999984 Personal property Honda pilot (11,24750 Long term liabilities $39,999.841 Total Personal (11247.50 Total liabilities (2) 4-4409.29 Tozal Assets (1) 17496660 Net Worth 130857.16 the Garzas Based on completed Bolana Sheet net worth is $ 130,857.16 a) Based on the Federal Reserve Bulletin data the Garzas are $ 42,100 the median net worth for their age group. (6 Their Real property would be considered their dominant asset. y cased on their liabilities, it Eletric and water appear that they have adequate liquia assets to meet the bill payments and to cover any small, unexpected expenses. The balana sheet list their house at 8% higher than the purchase price the equity in their I home: $130857.16 +($162000 88% -8143817.16