Discover the key differences between fixed and current assets, including their roles in business, how they're recorded, and why they matter for financial strategy.

Accounting divides your company assets into two classes: current and long-term. Current assets include cash and anything you use up or convert to cash over the next 12 months. Typical examples are ...

If you operate a factory, you rely on machinery to produce salable goods. If you’re a freight company, your fleet of trucks is the key to making money. Every business has fixed assets that are ...

Most small businesses use some form of a fixed asset in their operations. A fixed asset is a resource a business reports in the assets section of its balance sheet, typically under the "property, ...

High-yield fixed-income investments aim to provide steady income, capital preservation and higher returns than traditional fixed-income assets like government bonds or savings accounts. Although these ...

Fixed assets are expensed over their expected lifespan, distinct from regular assets expensed immediately. A fixed asset capitalization policy clarifies how assets are treated financially within a ...

Stephanie Trovato is an experienced journalist with a focus on tech and small business. She has written for national web publications like Hubspot, SmallBizClub, and Investopedia. You can find her at ...

Portions of this article were drafted using an in-house natural language generation platform. The article was reviewed, fact-checked and edited by our editorial staff. You may have heard financial ...

In simple words, an asset is something of value that you own and can convert to cash. Your car is an asset and so is your house because you could sell either one and receive its value in cash.

From nimble startups to established, multigenerational enterprises, I’ve had the privilege of financially guiding a diverse array of businesses. Across all these experiences, one pattern stands out: ...

Fixed asset impairment occurs when asset market value drops below its book value. To detect impairment, compare asset's book value against its recoverable amount. If impaired, reduce book value on ...