The owners' interest in the assets of a corporation is known as:

Question

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Shareholders' equity represents the owners' interest in the assets of a corporation. It is calculated as the difference between the total assets and total liabilities of the company. Therefore, shareholders' equity is a measure of the value that shareholders contribute to the company, and it reflects their ownership stake in the organization.

(A) Assets represent the economic resources that a company owns, such as cash, inventory, property, and equipment. However, assets do not specifically represent the owners' interest in the company.

(C) Expenses represent the costs that a company incurs in order to operate its business, such as salaries, rent, and utilities. Expenses are not related to the owners' interest in the company.

(D) Revenues represent the income that a company generates from its operations, such as sales or fees. Revenues are not related to the owners' interest in the company.

The Owners' Interest in the Assets of a Corporation Is