What are the different types of assets?

What are the different types of assets?

Assets can be classified into several categories, including current, fixed, tangible, intangible, operating, and non-operating assets.

Can you explain current and fixed assets?

Current assets are short-term assets that can be converted into cash within a year, like cash and inventory. Fixed assets are long-term and include property, plant, and equipment.

What about tangible and intangible assets?

Tangible assets are physical items like machinery and buildings, while intangible assets include non-physical items like patents and trademarks.

How do operating and non-operating assets differ?

Operating assets are used in the core business operations, while non-operating assets are not essential for daily operations, like investment properties.