When Your Assets Exceed Your Liabilities, You

question 50

Multiple Choice

When your assets exceed your liabilities, you:

• A) are losing equity.
• B) have a negative net worth.
• C) are solvent.
• D) are bankrupt.
• E) have more real assets than investments.

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Definitions:

Corporations

Legal entities that are separate from their owners, with the ability to own assets, incur liabilities, and engage in contracts or legal actions.

Corporate Managers

Individuals in charge of managing a corporation's affairs, making strategic decisions, and ensuring operational efficiency.

Corporate Owners

Individuals or entities that legally own one or more shares of stock in a corporation, giving them rights to its assets and profits.

Agents

Individuals or entities that act on behalf of others in business transactions or negotiations.