What are the 3 key Properties of Assets?
Any asset that a company holds has 3 key properties and that are:
- Economic Value: An asset possesses a certain economic value for which it can be sold.
- Ownership: Assets can be exchanged for cash and resemble ownership as well.
- Resources: Assets are also often referred to as resources of a company as they can generate future economic benefits for a company.
What is an Asset? Definition, Types, and Examples
In our day-to-day life, we very often refer to many things as an asset, and this is because it’s a very generalized term. But in terms of business and accounts, an asset has a specific meaning which is further categorized into several parts. Usually, an organization describes an Asset as something that holds an economic value and can turn profitable for the organization in the future.