Contents tagged with Asset

  • Asset non asset difference

    Hello everybody,

    today I want to write few words about difference between something important in the company, that can be asset and close to asset but not be considered as asset from acocuntancy standpoint.

    First of all let's start from definition. Asset has three key parts in its definition:

    ownership

    generates benefit

    arises from transaction

    Full definition of asset sounds like this: Asset is a resource owned or controlled by the firm that it is expected to generate future economic benefits and arises from a past event or transaction. 

    From this definition stnadpoint piece of equipment which is worth 1M $ is an asset because 

    owned by company

    will generate profit

    resulted … more