On a balance sheet, assets are equal to the sum of
From an accounting perspective, assets are divided into the following categories:
- current assets (cash and other liquid items),
- long-term assets (real estate, plant, equipment),
- prepaid and deferred assets (expenditures for future costs such as insurance, rent, interest), and
- intangible assets (trademarks, patents, copyrights, goodwill).
See also: List of Key Accounting Terms and Definitions at InvestorGuide.com.
Use asset in a sentence
“ The company's biggest and most valuable asset is the factory that the company just built to customization. ”
“ You need to do your best to protect your most valuable asset and not let anything bad happen to it. ”
“ I informed him that he would be a great asset to us because he had a lot of power and knew how to use it. ”