Question

​Stockholders' equity is

A. the difference between the value of a​ corporation's assets and the value of its​ liabilities; also known as net liabilities.
B. the difference between the value of a​ corporation's profits and the value of its​ liabilities; also known as net worth.
C. the difference between the value of a​ corporation's assets and the value of its​ liabilities; also known as net worth.
D. the difference between the value of a​ corporation's assets and the value of its​ liabilities; also known as net present value.

Answer 1

C. the difference between the value of a​ corporation's assets and the value of its​ liabilities; also known as net worth.

Step-by-step explanation:

Stockholders' equity -

Stockholders' equity of a company , is the total assets owned by the company subtracted by the total liabilities owned by the company .

i.e. ,

Net worth = assets – liabilities

Stockholders' equity , is also known as the net worth of the company .

As , the profit of the company increases , its net worth also increases .