Answer:
Total equity is $7000
Step-by-step explanation:
The equity is the value left, once you discount the liabilities.
Total equity formula is
Equity = Assets - Liabilities
In this case ,
Assets=14000 (Value of Clarissa's car)
Liabilities=7000 (Amount she owes)
Equity= 14000 - 7000
Equity=7000
