Which of the Following Statements Regarding an Individual's Net Worth

question 46

Multiple Choice

Which of the following statements regarding an individual's net worth is true?

• A) It is the sum of an individual's current assets and his or her current liabilities.
• B) It is the sum of an individual's take-home pay and his or her payroll taxes.
• C) It is the difference between an individual's current assets and his or her current liabilities.
• D) It is the difference between an individual's monthly income and his or her expenses.
• E) It is the difference between an individual's total assets and his or her total liabilities.

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Definitions:

Strategic Planning

The process of defining an organization's direction and making decisions on allocating its resources to pursue this strategy.

Short-Term Planning

The process of organizing immediate goals and objectives, usually spanning a period of less than one year.

Intermediate Planning

The process of setting goals and outlining strategies for the medium term, bridging the gap between day-to-day operations and long-term objectives.

SWOT Analysis

The step of strategic planning in which the managers identify the internal strengths and weaknesses of a business and the opportunities and threats that exist outside the business.