What different kinds of assets are there?

All assets can be divided into the categories of fixed assets or current assets. Fixed assets and current assets. The distinction between the two is the time horizon in which they are intended to be used where fixed assets are intended for long-term use defined as more than a year and current assets are intended for short-term use defined as less than a year.

Examples of fixed assets include:

  • Machinery
  • Equipment
  • Properties
  • Plants

Examples of current assets include:

  • Receivables
  • Cash

Fixed and current assets can be divided into subcategories such as intangible fixed or current assets and financial fixed or current assets (notice that some examples are included in more than one category).

Examples of intangible assets include:

  • Patents
  • Licenses
  • Goodwill
  • Tenancy rights
  • Trademarks (acquired)

Examples of financial assets include:

  • Receivables
  • Cash
  • Stocks
  • Bonds

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