Simply put, an asset is a thing of value. Assets can be owned by individuals, companies, organizations, and governments. Assets come in several more specific categories. Current assets include things like cash, inventory, and accounts receivable. Anything that is expected to be turned into cash within the next six months or so is a current asset.
A fixed asset is something that has long term value and undergoes depreciation, or loses value over time. Examples of fixed assets are things like the buildings, vehicles, and equipment.
Financial assets are investments like stocks, bonds, and other securities.
Intangible assets are things that have no actual value in and of themselves but allow the company to earn money, such as patents or copyrights. An idea by itself doesn’t have value, but when you hold a patent for that idea, you have a legal right to be the person who earns money from it. That makes it an asset, even if it has no monetary value in and of itself.
A family law attorney in Columbia, Maryland can provide more information about how assets are divided in a divorce.