worth
(adjective)
It is having a value of; proper to be exchanged for.
Examples of worth in the following topics:
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Wealth
- Wealth is commonly measured in terms of net worth, which is the sum of all assets, including home equity, minus all liabilities.
- Wealth in the United States is commonly measured in terms of net worth, which is the sum of all assets, including home equity, minus all liabilities.
- For white families, home ownership is worth, on average, $60,000 more than it is worth for black families.
- This graph shows changes in the average net worth of families in each decile of the U.S. income hierarchy.
- In recent years, the average net worth of high-income families has grown significantly more than that of middle and lower-income families.
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Single-Period Investment
- The time value of money framework says that money in the future is not worth as much as money in the present.
- The difference between what the money is worth today and what it will be worth at a point in the future can be quantified.
- That is, it tells you what a single payment is worth today, but not what a series of payments is worth today (that will come later). relates all of the variables together.
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Defining the Time Value of Money
- The Time Value of Money is the concept that money is worth more today that it is in the future.
- It states that money today is worth more than money in the future.
- There is some value, however, that you could be paid in one year that would be worth the same to you as $500 today.
- This is what the money is worth right now.
- This is what $500 today is worth after the time period (t)- one year in this example.
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Importance of the Time Value of Money
- A business does not want to know just what an investment is worth todayit wants to know the total value of the investment.
- What is the investment worth in total?
- By figuring out how much option 2 is worth today (through a process called discounting), you'll be able to make an apples-to-apples comparison between the two options.
- If option 2 turns out to be worth less than $5,000,000 today, you should choose option 1, or vice versa.
- But you also know that you can go to Bank 2 and get a guaranteed 6% interest rate, so your money is actually worth 6% a year for every year you don't have it.
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Entrepreneur assessment survey
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Introduction to Motors and Pumps
- (Hawken, Paul, Lovins, Amory, and Lovins, Hunter, Natural Capitalism) A new electric motor purchased for $1,500, for example, can cost as much as $13,000 a year to run and a typical 100 horsepower AC induction motor purchased for $5,000 will use as much as $35,000 worth of electricity in a year.
- Compare these figures to an older model 100 horsepower motor running continuously at full load (as many motors are designed to do), which can cost $70,000 a year to operate – or an older 20 horsepower motor, which can consume up to $14,000 worth of electricity annually.
- Even with electricity rates as low as four cents per kilowatt-hour, most 20 horsepower motors (running continuously) use up to $6,000 worth of electricity annually.
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Bibliography
- Saunders College Publishing, Fort Worth, 1988.
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Notes
- It is worth noting that many historical scientists, philosophers, and statesmen appear racist by late-20th century standards.
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One more time...
- I asked them how much the wasted energy was worth compared to the amount of electricity it generated – and at that moment they realized the fault in their idea.
- Without question, the raw material (wasted fuel) was worth more than the envisioned end product (electricity).
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Value and Relative Value
- Value is the worth of goods, and relative value is attractiveness measured in terms of utility of one good relative to another.
- Value is the worth of goods and services as determined by markets.
- Often a measure for the worth of goods and services is units of currency such as the US Dollar.
- The discussion of values all start with one simple question: What is something worth?
- But then remember that it took economists more than a hundred years to figure it out: something is worth whatever you think it is worth.