What are the three components of wealth?

The correct answer is rooted in an understanding of how wealth is quantified in sociological and economic terms. Wealth is commonly defined by three fundamental components: assets, liabilities, and net worth.

Assets are anything of value that an individual owns, such as cash, properties, stocks, and other financial investments. Liabilities represent what an individual owes, including debts and loans. Net worth is calculated as the difference between total assets and total liabilities, essentially providing a snapshot of an individual's financial standing.

This framework captures the holistic view of wealth by considering both what is owned and what is owed. It allows for a comprehensive understanding of financial health and status. Other choices do not encompass these aspects thoroughly; while they include elements related to wealth, they do not represent the broader financial picture as effectively as the correct answer does.