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Assets are the resources of the business. It is the material one has, to make a difference. A nice term for it is something that has a probable future economic benefit or which has a future and is potentially valuable. For example, food in the refrigerator is an asset because it is valuable as we can eat it.
Assets in a Business
In the business the assets usually are –
- Cash or money – This is one of the main assets in business.
- Supplies – Supplies are those types of things that you use or consume in business. Before businesses start using them, they are called supplies.
- Prepaid – Prepaid usually are paid in advance before one can use it, for example, pre-paid insurance.
- Inventory – Inventory is when the business buys stuff, put price tags on it and invites the customer to buy it. Inventory is like a store where customers are invited to buy items. Supplies are used inside the business for internal use only and inventory has a fresh tag on it and the customers by the inventory.
- Accounts receivable – It is when other people owe you money.
- Land, building, Autos, and Equipment – These are long-lived assets but these are still assets as they have future potential value.
- Intangibles – Trademarks are intangible assets; we can’t touch them but it has probable future economic benefits.
Sapphire single user and Colibri client-server asset management functionality make managing assets a breeze. In Colibri, It is easy to manage the assets owned by a company or by an individual and keep track of the depreciation that occurs on those assets. To know more, Check Colibri’s Asset inquiry module.