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Over the period of a year, Sam's net worth increased. Which of the following could be true?

a. Sam's assets and liabilities decreased by the same amount.
b. Sam's assets and liabilities increased by the same amount.
C. Sam's assets increased by more than his liabilities.
d. Sam's assets decreased by more than his liabilities.
Please select the best answer from the choices provided
A
B
D
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User Kenyon
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B I only understood that one the others not so much, tell me if this doesn’t help
User Taufik Nurrohman
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Based on the given information that Sam's net worth increased over the period of a year, the following statement could be true Sam's assets increased by more than his liabilities. The correct option is option C.

Assets and Liabilities

Assets are resources or economic resources that have value and are owned or controlled by a company or an individual. They represent what an entity owns and can include tangible items like cash, inventory, property, equipment, and investments, as well as intangible items like patents, trademarks, and intellectual property.

Liabilities, on the other hand, represent the obligations or debts that a company or an individual owes to others. They are the financial responsibilities or claims against the assets of an entity.

When Sam's assets increase by a greater amount than his liabilities, his net worth will increase. This means that the value of his assets, such as investments, properties, or savings, has grown more than any debts or obligations he may have, resulting in a higher net worth.

User Kalamarico
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