What are assets?

[Yasha]

I’m starting an intro to business course and I keep seeing this term everywhere. In plain English, what are assets? Is it just cash and buildings, or does it include things like "brand reputation"? Trying to get a solid grasp on the definition before my first exam.

 

[amberbenton]

In plain English, assets are things a business owns that have value and can help it make money.
It’s not just cash and buildings. Assets include:
• Cash
• Equipment and buildings
• Inventory (products to sell)
• Money customers owe you
• Investments
It can also include less physical things like:
• Brand name
• Patents
• Trademarks
• Good reputation (sometimes recorded as goodwill in accounting)
Basically, if it has value and benefits the business now or in the future, it’s considered an asset.
Hope that helps with your exam prep

 

[Selina]

Assets basically refer to all kinds of things that are owned by a person or a business, which are of value and can be beneficial in the future. Of course, it's not only cash and buildings; in fact, equipment, inventories, investments, and even patents or brand reputation (known as intangible assets) are part of assets. Simply put, if you own something that makes or can make money, then that something is your asset.

 

[Benjamin]

Assets are resources owned by an individual, business, or organization that have economic value and can provide future benefits. They include tangible items like cash, property, equipment, and inventory, and intangible items such as patents, trademarks, or investments. Assets are recorded on balance sheets and help measure financial health, liquidity, and overall net worth.

 

[Felix]

Think of an asset as anything that puts money in your pocket. It’s not just physical stuff like trucks or warehouses; it’s also "Accounts Receivable" (money customers owe you) and even "Goodwill" (which covers that brand reputation you mentioned).