ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -An asset is something containing economic value and/or future benefit. An asset can often generate cash flows in the future, such as a piece of machinery, a financial security, or a patent. Personal assets may include a house, car, investments, artwork, or home goods.

Detailed explanation-2: -Some consider real estate a type of financial asset, but it’s also considered a physical asset. Physical assets are tangible objects, such as property, art or valuable heirlooms, that require upkeep to maintain or increase in value.

Detailed explanation-3: -Assets include physical items such as machinery, property, raw materials and inventory, and intangible items like patents, royalties and other intellectual property.

Detailed explanation-4: -Current assets include cash, inventory, and accounts receivable. Examples of fixed assets are buildings, real estate, and machinery.