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Any possession that has value in an exchange.


In accounting, anything of value that a person or firm buys. Assets can be physical, such as real estate or stocks, a claim on debts, such as accounts receivable or liens, or a right, such as a patent. Of crucial importance to assets is their relative liquidity, or the ease with which they can be converted to cash. Liquid assets are often thought to be more useful than illiquid assets. See also: Tangible asset, Intangible asset.


Something of monetary value that is owned by a firm or an individual. Assets are listed on a firm's balance sheet and include tangible items such as inventories, equipment, and real estate as well as intangible items such as property rights or goodwill. Compare liability. See also current asset, intangible asset, tangible asset.


Assets are everything you own that has any monetary value, plus any money you are owed.

They include money in bank accounts, stocks, bonds, mutual funds, equity in real estate, the value of your life insurance policy, and any personal property that people would pay to own.

When you figure your net worth, you subtract the amount you owe, or your liabilities, from your assets. Similarly, a company's assets include the value of its physical plant, its inventory, and less tangible elements, such as its reputation.


an item or property which is owned by a business or individual and which has a money value. Assets are of three main types:
  1. physical assets such as plant and equipment, land, consumer durables (cars, etc.);
  2. financial assets such as currency, bank deposits, stocks and shares;
  3. intangible assets, such as BRANDS. Alternatively, assets can be classified into FIXED ASSETS (those intended for long-term use by a business); and CURRENT ASSETS (those intended to be turned over, in trading, as raw materials are converted into finished goods, then sold to generate cash). See INVESTMENT, LIQUIDITY, BALANCE SHEET, LIABILITY.


an item or property owned by an individual or a business that has a money value. Assets are of three main types:
  1. physical assets, such as plant and equipment, land, consumer durables (cars, washing machines, etc);
  2. financial assets, such as currency, bank deposits, stocks and shares;


Something of value. On a balance sheet or personal financial statement, assets will include the following items, typically arranged in order according to the ease with which they can be converted into cash:

Cash and equivalents

Cash on hand:
Cash in banks
Marketable securities

Accounts receivable
Less reserves for bad debts

Furniture, fixtures, and equipment

Fine art

Real property

General intangibles:
Stock in closely held corporations
Intellectual property rights

When lenders examine balance sheets,they generally assume that individuals and small businesses overvalue the furniture, fixtures, and equipment and the general intangibles. Large entries for cash and equivalent assets will overcome a poor credit rating 9 times out of 10.


An item of useful or valuable property.
References in periodicals archive ?
No adjusted gain or loss is included for AMT purposes for the sale of business assets.
What is clear from these changes is that the heady days of 10% tax rates for business assets are likely to be numbered.
Forthcoming changes to capital gains tax legislation means that individuals looking to realise the value of their business assets may soon be able to benefit from lower CGT rates, according to KPMG in Birmingham.
The target corporation had sold its trucking business assets and invested the proceeds of the sale in tax-exempt bonds.
But there are two sets of taper relief, and the gain tapers away much more quickly for business assets than for assets seen as passive investments.
The Act also eliminated the need for a shareholder to have at least a five per cent shareholding in a private company to qualify for the business asset taper relief.
The interest held by the controlling corporation in the controlled corporation does not qualify as a USRPI or as a trade or business asset.
However, he noted, that because farm assets and business assets represent a relatively small share of total taxable estate value, "repeal or modification of the estate tax would benefit more estates with a variety of different asset types.
The IFB has written to Mark Hoban MP, Financial Secretary to the Treasury, calling for the CGT rate for business assets to be held at the current rate of 18%.
The agreement put an end to their negotiations started in March, when Seiko Epson said it was considering transferring part of its LCD business assets to Sony as demand was declining for its LCDs for mobile phones and other electronic devices amid the current global economic slump.
has announced the planned sale of certain business assets, the permanent closure of all facilities, and the intention to cease all business activities before the end of 2008.
Dow Chemical intends to buy back those business assets originally contributed by Dow at the time of constitution of the joint venture, and will service the respective customers directly in the future.

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