Question

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

Answer 1

Answer:

d. Julie's assets decreased by more than her liabilities.

Step-by-step explanation:

Net worth is the excess of assets over liabilities, there an individual's net worth is the sum total of all his assets minus liabilities. A corporation's net worth is also the corporation's total assets minus liabilities.

A corporation's net worth is also called owners equity which can also be computed by summing up the retained earnings and the capital contributed by the owners, less all its short- and long-term liabilities.

The net worth of an individual in this case Julie, can decrease if either the assets decreased without a corresponding decrease in liabilities or when the liabilities increase without a corresponding increase in assets.

Answer 2

Answer:

b

Step-by-step explanation:

I honestly don't know how to solve