Assets just refer to stuff you own that's worth something. You might have a lot of love, but, as the Beatles say, that can't be bought. Financial types are more interested in the value of your home, your retirement fund, your stocks, and anything you can sell to make a buck.
Tally up all the stuff you can sell, subtract your debts, and that's where your net worth. We hope it's as impressive as Marilyn.
Example: An orthodontist is married to a school teacher in Peoria, IL. Their assets consist of $253,432 in a Schwab One brokerage account, a home valued at $643,000 with a $300,000 mortgage (their equity in the home is $343,000), $20,000 in a B of A account, and $92,302 in a teacher's retirement pension account. Oh, and $12,000 worth of crap in their garage that really should be sold on eBay. Those are all assets.
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Finance: What is a Residual Claim To Ass...2 Views
Finance a la shmoop what is a residual claim to assets? alright people here's an
investment and here's an investment gone bad well here's the result and you have [Cash burning]
a claim to the crumbs of dollar bills here the investment in hair for days.com
didn't go so well instead of regrowing hair as it promised
it actually made hair disappear in you know other places so the investors eight
million bucks is mostly gone Microsoft is buying the company for a
scrap price of five million since you were the preferred stock investor and
there was no debt junior or senior or otherwise no IRS bills owed no vendor
bills owed just the preferred IEU well you have this residual claim to the you know
financial residue and the eight million bucks you invested went to Jenny Craig [Man with briefcase of 8 million dollars appears]
dieted down to only five million bucks which now come your way via your
residual claim to assets fingers crossed your next investment goes a bit better
but hopefully this one will put a little hair on your chest it happens [Man with hairy chest appears]
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