The assets and liabilities of a landscaping business are listed below.
\begin{tabular}{|l|r|}
\hline Small Business Loan & [tex]$\$[/tex]76,400[tex]$ \\
\hline Owned Inventory & $[/tex]\[tex]$48,760$[/tex] \\
\hline Building Mortgage & [tex]$\$[/tex]189,429[tex]$ \\
\hline Cash & $[/tex]\[tex]$126,790$[/tex] \\
\hline Savings Account & [tex]$\$[/tex]32,436[tex]$ \\
\hline Owned Equipment & $[/tex]\[tex]$20,700$[/tex] \\
\hline Accounts Receivable & [tex]$\$[/tex]15,640[tex]$ \\
\hline Property Value & $[/tex]\[tex]$225,678$[/tex] \\
\hline Other Debt & [tex]$\$[/tex]16,970[tex]$ \\
\hline
\end{tabular}

What is the net worth of the landscaping company?

A. $[/tex]\[tex]$126,790$[/tex]

B. [tex]$\$[/tex]187,205[tex]$

C. $[/tex]\[tex]$282,799$[/tex]

D. [tex]$\$[/tex]470,004$



Answer :

To determine the net worth of the landscaping company, we need to follow these steps:

1. Identify and sum up all the assets:
- Owned Inventory: \[tex]$48,760 - Cash: \$[/tex]126,790
- Savings Account: \[tex]$32,436 - Owned Equipment: \$[/tex]20,700
- Accounts Receivable: \[tex]$15,640 - Property Value: \$[/tex]225,678

Calculate the total assets:
[tex]\[ \text{Total Assets} = 48,760 + 126,790 + 32,436 + 20,700 + 15,640 + 225,678 \][/tex]
Adding these together:
[tex]\[ 48,760 + 126,790 + 32,436 + 20,700 + 15,640 + 225,678 = 470,004 \][/tex]
So, the total assets are \[tex]$470,004. 2. Identify and sum up all the liabilities: - Small Business Loan: \$[/tex]76,400
- Building Mortgage: \[tex]$189,429 - Other Debt: \$[/tex]16,970

Calculate the total liabilities:
[tex]\[ \text{Total Liabilities} = 76,400 + 189,429 + 16,970 \][/tex]
Adding these together:
[tex]\[ 76,400 + 189,429 + 16,970 = 282,799 \][/tex]
So, the total liabilities are \[tex]$282,799. 3. Calculate the net worth: \[ \text{Net Worth} = \text{Total Assets} - \text{Total Liabilities} \] Subtract the total liabilities from the total assets: \[ 470,004 - 282,799 = 187,205 \] So, the net worth of the landscaping company is \$[/tex]187,205.

Given the options:
- \[tex]$126,790 - \$[/tex]187,205
- \[tex]$282,799 - \$[/tex]470,004

The correct answer is:
[tex]\[ \boxed{187,205} \][/tex]