Definition: An asset is an item of economic value owned by a company that can be easily converted to cash. Examples would be inventory, accounts receivable, and fixed assets to name a few. Typically, companies have both current assets, which have a maturity of one year or less and fixed assets, which have a maturity of more than one year.
Also Known As: assets, effects, property, resources, resource, wealth
Plant and equipment is an example of an asset account on a company's balance sheet.