net worth


Also found in: Legal, Wikipedia.

Net worth

Net Worth

An individual or company's assets minus liabilities, in which assets exceed liabilities. For example, if a company has $3 million in assets and $1 million in debt and other liabilities, it has a net worth of $2 million. The term may apply to companies or individuals, but is often used colloquially to refer to wealthy individuals.

net worth

A measure calculated by subtracting total liabilities from total assets. For an individual, total assets are recorded at current market value. For a company, net worth uses assets as recorded on the balance sheet at historical cost minus any depreciation. See also owners' equity.

Net worth.

A corporation's net worth is the retained earnings, or the amount left after dividends are paid, plus the money in its capital accounts, minus all its short- and long-term debt. Its net worth is reported in the corporation's 10-K filing and annual report.

Net worth may also be called shareholder equity, and it's one of the factors you consider in evaluating a company in which you're considering an investment.

To figure your own net worth, you add the value of the assets you own, including but not limited to cash, securities, personal property, real estate, and retirement accounts, and subtract your liabilities, or what you owe in loans and other obligations.

If your assets are larger than your liabilities, you have a positive net worth. But if your liabilities are more than your assets, you have a negative net worth. When you apply for a loan, potential lenders are likely to ask for a statement of your net worth.

net worth

see LONG-TERM CAPITAL EMPLOYED.

net worth

see LONG-TERM CAPITAL EMPLOYED.

net worth

The financial value of a person or company after adding all assets and subtracting all liabilities.

References in periodicals archive ?
In the former economy, for example, because the FIs' default is less costly, a scarcity in the FIs' net worth leads to a limited rise in the external finance premium.
Saudi billionaires are the richest with a combined net worth of $34.6 billion.
In second place is Mexican telecommunications mogul Carlos Slim Helu, with a net worth of $77.1 billion.
Cerulli Associates discloses this finding in a report, "High Net Worth and Ultra High Net Worth Markets 2013: Understanding the Contradictory Demands of Multigenerational Wealth Management." The sixth annual survey analyses the market size, structure and developments among the high net worth (those with investable assets greater than $5 million) and ultra-high net worth (more than $20 million) markets.
Inflation-adjusted aggregate household net worth. Adjusting aggregate current-dollar net-worth figures for inflation only, aggregate household wealth at the end of the first quarter of 2013 had returned to 93.3 percent of its peak level, which was reached at the end of the second quarter of 2007.
First, is having outstanding student loan debt associated with household net worth? Second, among households with outstanding student debt, is the amount of debt associated with household net worth?
Matz said the current 7% net worth requirement would remain the floor requirement, as defined by the Federal Credit Union Act.
Cathay registered NT$2.356 billion (US$78.53 million) in profits in the first three quarters, resulting in NT$135.8 billion (US$4.53 billion) in net worth in the third quarter, with unrealized profits increasing NT$17.6 billion (US$586.67 million), mainly due to rebounding stock market.
The study showed that, between 2007 and 2010, the median loss in net worth of all households surveyed was 39.1 percent.
Those with $100,000 or more in net worth NIPR reached 36.7 million from 36.2 million in 2010
With a net worth of 31.1 billion dollars, Mittal has been ranked sixth in the Forbes Billionaires List of 2011, while Ambani was ranked at ninth position.
Most senior officials of PCOO grew richer last year !-- -- Alexis Romero (The Philippine Star) - August 26, 2019 - 12:00am MANILA, Philippines Most senior officials of the Presidential Communications Operations Office (PCOO) grew richer last year, their statements of assets, liabilities and net worth (SALN) showed.