Julio has a house worth $220,000. He has a $175,000 mortgage. Julio says that in this situation, his asset is really only $45,000. Which statement explains whether Julio is correct? Julio is correct because the $45,000 equity in the house is the real asset. Julio is correct because he can pay $45,000 and have no more liabilities. Julio is not correct because the same item cannot represent both an asset and a liability. Julio is not correct because the house cannot be worth more than the mortgage.