Cashback Offer from 1st to 15th March 2021. Get Flat 20% Cashback credited to your account for a minimum transaction of $80. Post Your Question Today!

Question DetailsNormal
$ 4.90

ECONOMICS | Strayer University, Washington

Question posted by
Online Tutor Profile

ECONOMICS / strayer University, Washington.

Assets, Liabilities and Owner's equity

Available Answer
$ 4.90

[Solved] ECONOMICS | Strayer University, Washington

  • This solution is not purchased yet.
  • Submitted On 29 Oct, 2020 08:27:45
Answer posted by
Online Tutor Profile
ASSETS • An asset is a resource that has economic value that an individual, corporation or a country owns or controls with the expectation of getting a future benefit. • They are usually reported on a company's balance sheet and are created or bought to increase a firm's value hence benefiting the firm's operations. • An asset may be thought of as something which, in the future, can generate cash flow, improve sales or reduce expenses regardless of whether it's manufacturing equipment or a patent. TYPES OF ASSETS 1. Current Assets They are short-term economic resources which are expected to be converted into cash within one year. They include accounts receivable, cash and cash equivalents, inventory and various prepaid expenses. Though cash is easy to value, accountants periodically reassess the recoverability of inventory and also accounts receivable. If there is evidence which accounts receivable may be uncollectible, it becomes impaired. If inventory becomes obsolete, companies can write off these assets. Assets are recorded on balance sheets of companies based on the concept of historical cost, that represents the original cost of the asset, adjusted for any improvements. 2. Fixed Assets These are long-term resources, such as plants, equipment, and also buildings. Adjustment for the aging of fixed assets is made depending on periodic charges called depreciation, which can or can not reflect the loss of earning powers for a fixed asset. 3. Financial Assets These represent investments in the assets and securities of the other institutions. They include stocks, preferred, equity sovereign and corporate bonds and other hybrid securities. Financial assets are valued depending on the way investment is categorized and the motive behind it. 4. Intangible Assets These are economic resources which have no physical presence. They include trademarks,...
Buy now to view the complete solution
Other Similar Questions
User Profile

Economics Question

In an effort to make the distribution of income more nearly equal, the government of a country passes a tax law that changes the Lorenz curve from y = 0.97x2.1 for one year to y = 0.36x2 + 0.64x for the next year. Find the...
User Profile

ECO Project A+ Expert Only.

Attached are 3 files for the solutions and answers....
User Profile

Study Questions for Economics

. Explain Marx’s stages of development. Marx’s stages of development are very distinct. The first stage is the standard form which helps by creating no social classes between men and women. The second stage is primiti...
User Profile

Intermediate Macroeconomics

I have attached the solution for you Please have a look Thanks a lot...
User Profile

Intermediate Microeconomics

Intermediate Microeconomics Intermediate Microeconomics Intermediate Microeconomics Intermediate Microeconomics...

The benefits of buying study notes from CourseMerit

Assurance Of Timely Delivery
We value your patience, and to ensure you always receive your homework help within the promised time, our dedicated team of tutors begins their work as soon as the request arrives.
Best Price In The Market
All the services that are available on our page cost only a nominal amount of money. In fact, the prices are lower than the industry standards. You can always expect value for money from us.
Uninterrupted 24/7 Support
Our customer support wing remains online 24x7 to provide you seamless assistance. Also, when you post a query or a request here, you can expect an immediate response from our side.

$ 629.35