Assets are the resources a company uses to sell a product or provide a service in order to generate revenue and earn money. are debts or claims to these assets. or capital is the value of assets left after liabilities are subtracted.

debts or claims are not assets. or capital is not value of assets left after liabilities are subtracted

Explanation:

The accounting equation is considered to be the foundation of the double-entry accounting system. The accounting equation shows on a company's balance sheet whereby the total of all the company's assets equals the sum of the company's liabilities and shareholders' equity.The Balance Sheet is a hugely important report and is divided into three main segments assets (often divided into current assets and fixed assets), liabilities, and shareholder equity or retained earnings .Equity is the remaining value of an owner’s interest in a company, after all liabilities have been deducted. You may hear of equity being referred to as “stockholders’ equity” (for corporations) or “owner’s equity” (for sole proprietorships).

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