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

Question

Quizplus · Accepted Answer

Net worth is the difference between an individual's total assets (including physical possessions, investments, and accounts) and his or her total liabilities (debts and financial obligations). This represents the value an individual would have remaining if they were to sell all of their assets and pay off all of their debts.

Which of the Following Is True of an Individual's Net