Alison's car is valued at $14,000, and she owes $12,000 on it. What is her current equity?
Equity = 14,000 - 12,000 = $2,000.
14000-12000=2000
To calculate Alison's current equity, you need to subtract the amount she owes on the car from its current value.
Equity = Car value - Amount owed
Given:
Car value = $14,000
Amount owed = $12,000
Equity = $14,000 - $12,000
Equity = $2,000
Therefore, Alison's current equity in her car is $2,000.
To calculate the current equity of Alison's car, we need to subtract the amount she owes on the car from its current value.
Equity = Value of the car - Amount owed
Given:
Value of the car = $14,000
Amount owed = $12,000
Substituting these values into the equation, we have:
Equity = $14,000 - $12,000
Simplifying the calculation:
Equity = $2,000
Therefore, Alison's current equity in her car is $2,000.