https://wiki-dev.treasurers.org/w/index.php?action=history&feed=atom&title=Negative_equity 2026-04-24T11:02:31Z Revision history for this page on the wiki MediaWiki 1.40.0 https://wiki-dev.treasurers.org/w/index.php?title=Negative_equity&diff=33905&oldid=prev 2021-03-25T16:51:59Z

<p>Typo correction.</p> <table style="background-color: #fff; color: #202122;" data-mw="interface"> <col class="diff-marker" /> <col class="diff-content" /> <col class="diff-marker" /> <col class="diff-content" /> <tr class="diff-title" lang="en-GB"> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">← Older revision</td> <td colspan="2" style="background-color: #fff; color: #202122; text-align: center;">Revision as of 16:51, 25 March 2021</td> </tr><tr><td colspan="2" class="diff-lineno" id="mw-diff-left-l1">Line 1:</td> <td colspan="2" class="diff-lineno">Line 1:</td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>1. ''Net asset value - individual assets.''</div></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><div>1. ''Net asset value - individual assets.''</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td></tr> <tr><td class="diff-marker" data-marker="−"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #ffe49c; vertical-align: top; white-space: pre-wrap;"><div>In relation to individual assets, negative equity is the situation where the value of an asset is less <del style="font-weight: bold; text-decoration: none;">then </del>the amount <del style="font-weight: bold; text-decoration: none;">of </del>of a debt relating to it or secured on it.</div></td><td class="diff-marker" data-marker="+"></td><td style="color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #a3d3ff; vertical-align: top; white-space: pre-wrap;"><div>In relation to individual assets, negative equity is the situation where the value of an asset is less <ins style="font-weight: bold; text-decoration: none;">than </ins>the amount of a debt relating to it or secured on it.</div></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td></tr> <tr><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td><td class="diff-marker"></td><td style="background-color: #f8f9fa; color: #202122; font-size: 88%; border-style: solid; border-width: 1px 1px 1px 4px; border-radius: 0.33em; border-color: #eaecf0; vertical-align: top; white-space: pre-wrap;"><br/></td></tr> </table>

imported>Doug Williamson https://wiki-dev.treasurers.org/w/index.php?title=Negative_equity&diff=33904&oldid=prev 2021-03-20T21:20:14Z

<p>Add 2nd and 3rd definitions. Source: Corporate Finance Institute https://corporatefinanceinstitute.com/resources/knowledge/finance/negative-equity/</p> <p><b>New page</b></p><div>1. ''Net asset value - individual assets.''<br /> <br /> In relation to individual assets, negative equity is the situation where the value of an asset is less then the amount of of a debt relating to it or secured on it.<br /> <br /> <br /> :&lt;span style=&quot;color:#4B0082&quot;&gt;'''''Example: Negative equity'''''&lt;/span&gt;<br /> <br /> :A house is worth EUR 400k.<br /> <br /> :A borrowing of EUR 300k is secured by a mortgage over the house.<br /> <br /> :The net worth is the difference between the value of the the house (asset) EUR 400k and the borrowing (liability) EUR 300k<br /> <br /> :400k - 300k = EUR 100k<br /> <br /> <br /> :The Equity in the house is the difference between the current value, and any loans secured over it.<br /> :This is also EUR 100k.<br /> <br /> <br /> :If the value of the house falls to EUR 250k, the borrowing now exceeds the value of the asset.<br /> <br /> :This is 'negative equity' (of EUR 50k = 250k - 300k).<br /> <br /> <br /> 2. ''Cumulative corporate losses.''<br /> <br /> A situation where an organisation's total liabilities exceed its total assets.<br /> <br /> The balance sheet total is negative.<br /> <br /> This is normally a result of cumulative losses over a number of periods.<br /> <br /> <br /> 3. ''Individual net worth.''<br /> <br /> A situation where an individual's total liabilities exceed their total assets.<br /> <br /> <br /> == See also ==<br /> * [[Assets]]<br /> * [[Balance sheet]]<br /> * [[Equity]]<br /> * [[High net worth]]<br /> * [[Liabilities]]<br /> * [[Liabilities and equity]]<br /> * [[Mortgage]]<br /> * [[Net assets]]<br /> * [[Net worth]]<br /> * [[Share]]<br /> * [[Share capital]]<br /> * [[Shareholders’ funds]]<br /> <br /> [[Category:Accounting,_tax_and_regulation]]<br /> [[Category:The_business_context]]<br /> [[Category:Corporate_finance]]</div>

imported>Doug Williamson