asset

In accounting, anything owned by or owed to the company that is either cash or can be turned into cash. The term covers physical assets such as land or property of a company or individual, as well as financial assets such as cash, payments due from bills, and investments. Assets are divided into fixed assets – assets that are expected to be used in the business for some time such as land, plant, machinery, buildings – and current assets – assets with a frequent turnover in the course of business, such as cash and stock. On a company's balance sheet, total assets must be equal to total liabilities (money and services owed).