The Assets of a Company Total $700,000; the Liabilities, $200,000

question 50

Multiple Choice

The assets of a company total $700,000; the liabilities, $200,000. What are the net assets?

• A) $500,000.
• B) $900,000.
• C) $200,000.
• D) It is impossible to determine unless the amount of this owners' investment is known.
• E) $700,000.

---

Definitions:

General Decision-making Model

A step-by-step approach to making decisions that typically starts with identifying a problem, generating alternative solutions, evaluating the alternatives, and then selecting and implementing the best solution.

Routine Decision

A routine decision involves regularly made choices that follow established procedures or rules, often requiring minimal thought or deliberation.

Unreasonable Risks

Unreasonable risks are exposures to danger or harm that are not justified by the potential rewards, often lacking in foresight or disregarding probable negative outcomes.

"Thinking" Style

Denotes an individual's preferred way of gathering, processing, and analyzing information to make decisions.