If your ____,your net worth on the personal balance sheet would have increased from one period to the next.
A)liabilities increased and assets remained constant
B)liabilities increased and assets decreased
C)assets increased and liabilities remained constant
D)income increased
E)none of these

Question

Quizplus · Accepted Answer

An increase in net worth means that assets have increased or liabilities have decreased, or both. Among the given options, only choice C states that assets increased and liabilities remained constant, which would result in an increase in net worth. The other options either mention an increase in liabilities, a decrease in assets or increase in income, which are not sufficient to determine a change in net worth. Therefore, the correct answer is C.

If Your ____,Your Net Worth on the Personal Balance Sheet