fixed asset

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Fixed asset

Long-lived property owned by a firm that is used by a firm in the production of its income. Tangible fixed assets include real estate, plant, and equipment. Intangible fixed assets include patents, trademarks, and customer recognition.

Fixed Asset

An asset with a long-term useful life that a company uses to make its products or provide its services. Strictly speaking, a fixed asset is any asset that the company does not expect to sell for at least a year, but the term often refers to assets a company expects to have indefinitely. Common examples of fixed assets are real estate and factories, which a company holds for long periods of time.

fixed asset

An asset not readily convertible to cash that is used in the normal course of business. Examples of fixed assets include machinery, buildings, and fixtures. A firm whose total assets are made up primarily of fixed assets is in a less liquid financial position, thus entailing greater risk of a big tumble in profits if its revenues fall.
References in periodicals archive ?
Under generally accepted accounting principles (GAAP), long-lived assets are initially recorded at historical cost, which often equals fair value.
That amount, which is the estimated fair value, is recognized as a liability and capitalized as part of the carrying amount of the long-lived asset.
A significant decrease in the market price of a long-lived asset.
The only time that goodwill will be part of a long-lived asset test now is when the asset being tested is also a reporting unit.
A change in balance-sheet components--adding a new liability and capitalized retirement costs as part of the carrying cost of the long-lived asset, and removing accumulated depreciation of retirement-related costs embedded there.
If only part of the acquired assets are being tested for impairment, some of the goodwill usually is allocated to those assets based on relative fair values of acquired long-lived assets and identifiable intangibles at acquisition.
34 billion yen in write-downs on long-lived assets as well as 10.
Although I adhered to AICPA and FASB standards while in practice, in my current mode as an investor in publicly traded securities, I find that the current annual reports reflecting a high percentage of intangible and long-lived assets cause serious concern as to the true value of the entity.
The project's primary goals were to develop one accounting model, based on the framework established in Statement 121, for disposing long-lived assets by sale and to address significant implementation issues.
The provision for SFAS 121 impairments, terminated operations, and other asset impairments primarily represents the write-down of goodwill and other long-lived assets of acquired operations which are not deemed recoverable.
Another benefit should be an increase in consistency and comparability due to the uniformity that SFAS 121 brings to the calculation of the impairment of long-lived assets.
Now, the specter of overstated long-lived assets is attracting the attention of the regulatory agencies and FASB, the results of which are expected to dramatically impact many companies presently considered well capitalized and creditworthy.