# Day 60

#### Learning Objectives

• Demonstrate how to calculate a person’s net worth using their current financial position.
• Explain how to research and evaluate the services offered by a Financial Service Provider (FSP).

#### Assignment BUU4.5

1. Make a copy of this Google Document (Espanol).
2. Name the file Calculating Your Net Worth-(Your Initials).
3. Move it into your Lesson 4 folder.
4. Then complete the task using the directions below and the document.

Directions: Use the information below to fill out a consumer equity form for each family, and answer the questions. A person’s net worth can be a useful tool to measure one’s financial progress from year to year. An individual’s net worth is a grand total of all assets (things of value that you own) minus your liabilities (debts). It is important to understand that a person’s income does not alone determine their wealth.

Family A

• Occupation: Nurse and Sales
• Income: \$105,000 combined
• Property: Owns a house appraised at \$224,000 with a mortgage balance of \$202,000 Two vehicles: New truck with blue book value of \$32,000; owes \$35,000
• Used SUV with a retail value of \$17,500; owes \$14,500
• Emergency Fund: \$1,000
• Retirement: \$35,000
• Credit Card Debt: \$13,000
• Antiques: \$5,000
• Checking Account: \$2,500

Family B

• Occupation: Teacher
• Income: \$45,000
• Property: Owns a house appraised at \$139,000 with a mortgage balance of \$85,000 One vehicle: Used sedan with retail value of \$9,500
• Emergency Fund: \$5,000
• Retirement: \$22,000
• Electronics: \$3,500
• Checking Account: \$650

#### Assignment BUU4.6

1. Create a copy of this Google Document (Espanol), rename it Characteristics of FSP-(Your Initials), and move it into your Lesson 4 folder.
2. Use the internet to research each type of financial institution to find out what they are and what services they offer.

#### Assignment BUU4.7

1. After completing the assigned tasks in Lesson 4 above, share your Lesson 4 folder with your teacher.  Your folder should have the following files in it:
• Types of Expenses
• Purchase Calculations (Google Form)
• Budget for College
• Creating a Budget
• Calculating Your Net Worth
• Characteristics of FSP

#### Lesson 4 Quiz-BUU

1. Complete the Lesson 4 Quiz for the Budget Unit.