Final answer:
Businesses should never owe more than their net worth. Net worth is the difference between a business's assets and its liabilities, indicating its bank capital. A positive net worth ensures a business has enough assets to cover its liabilities.
Step-by-step explanation:
Businesses should never owe more than their net worth. Net worth is the difference between a business's assets and its liabilities, also known as its bank capital. A positive net worth indicates that a business has enough assets to cover its liabilities, while a negative net worth indicates insolvency or bankruptcy.