“How to calculate net worth in rupees” is a noun phrase that describes a procedure for determining one’s financial standing. For instance, if an individual owns assets worth 10,000,000 and has liabilities of 2,000,000, their net worth would be 8,000,000.
Calculating net worth is crucial for financial planning and decision-making. It provides a snapshot of your financial health, helps you track your progress toward financial goals, and allows you to make informed decisions about investments and expenses. Historically, the concept of net worth has evolved from simple asset-liability calculations to more sophisticated measures that consider factors such as future earning potential and risk tolerance.