As discussed in the "All About You" feature presented in this chapter, in order to evaluate your own financial situation, you need to prepare a personal statement of financial position. Assume that you have gathered the following information:

Amount owed on student loan (non-current).......................................$20,500

Balance in chequing account)............................................................1,500

Amount paid for vehicle)..................................................................3,000

Student fees due in three months' time.................................................2,300

Amount paid for laptop and accessories..................................................750

Amount paid for clothes and furniture.................................................4,500

Balance owed on credit card...............................................................900

Balance owed on loan from parents....................................................2,400

Instructions

(a) Using the information provided above, prepare a personal statement of financial position. Instead of shareholders' equity, use personal equity or deficit. Calculate the debt to total assets ratio.

(b) Can you prepare your own personal statement of financial position? What is your debt to total assets ratio? How does your ratio compare with the one you calculated in part (a)?