Answer: 2,000
Step-by-step explanation: 22,000 - 20,000 = 2,000
Angie’s current equity on her car is 2,000
Answer:
[tex]\$2,000[/tex]
Step-by-step explanation:
Equity is defined by difference between total value of the asset and total liabilities.
Value of Angie's car is [tex]\$22,000[/tex] and she owes [tex]\$20,000[/tex] which means:
Total value of asset (car) = [tex]\$22,000[/tex]
Total liability = [tex]\$22,000[/tex]
∴ Equity = [tex]22000 - 20000 = 2000[/tex]
Hence Angie's current equity is [tex]\$2,000[/tex]
