Net Worth VS Equity

net worth and equity they could be use as the same or different thing depending when it’s used. it could be use in a business or an individual.

net worth = assets – liabilities

equity = assets – liabilities

what give?

From a business point of view, shareholders equity is a liability to the business but an asset to the shareholders



Fixed asset:

Tangible and intangible assets

Current assets

Total assets


Shareholders equity:

  • capital

Other Liabilities

Total Liabilities

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