Bob Forrester is retired and owns a home. He has these assets and liabilities.

a. Calculate Bob's net worth.
b. Two years ago, Bob's net worth was $650,000. Last year, his net worth as $740,500. What is the approximate percent of increase or decrease between two years ago and last year?
c. What is the approximate percent of increase or decrease between last year and this year?
d. Compare the values. What do the changes imply?

Transcribed Image Text:

Assets Current value of home Current value of car (Kelley Blue Book) Balance in checking account Balance of savings accounts Balance of retirement account Value of computer Value of stocks/bonds $422,000 $22,000 $2,380 $140,500 $250,000 $1,800 $67,000 Liabilities Balance owed on home mortgage Balance owed on home equity loan Combined credit card debt $120,000 $21,000 $940