For a statement of changes in net worth,which of the following would be an unrealized decrease in net worth?

Question

Quizplus · Accepted Answer

A decrease in value of furnishings is an unrealized decrease in net worth because it represents a loss in the value of an asset, but does not involve an actual cash outflow. Salary, income taxes, interest income, and increase in value of land are all realized changes in net worth as they reflect actual inflows or outflows of cash or increase in the value of assets.

For a Statement of Changes in Net Worth,which of the Following