Personal Assets vs. Business Assets: What’s the Difference?
Personal assets refer to property acquired by citizens through labor or other legal means , including citizens’ legal income, savings, daily necessities, etc. It may include cash on hand, money in bank accounts and investment products.
Personal wealth (individual wealth) Personal wealth is equal to the sum of tangible assets , foreign net assets , cash, bank deposits, government or corporate bonds, company stocks.
What do personal assets include?
Household assets are mainly divided into two categories: financial assets and non-financial assets. Financial assets include bank deposits, bonds, stocks, investment funds, retirement funds, life insurance, various management assets, etc. Non-financial assets include owner-occupied residences, non-owner-occupied residences, commercial assets, automobiles, durable consumer goods, gold, silver, jewelry, antiques and works of art. Financial assets are the most vital part of residents’ property and are also an objective measure of the level of social and economic development.
Business Assets
A business asset is something of value owned by a business that can be used to generate income or aid in business operations . These assets can include tangible assets such as property, equipment and inventory, as well as intangible assets such as patents, trademarks and goodwill. For example, a bakery may own physical assets such as ovens, baking tools, and display cases, as well as inventory such as flour, sugar, and pastries. They may also have intangible assets such as a loyal customer base, a well-known brand name, and unique recipes that set them apart from their competitors.
What are the company’s assets?
Major asset classes include cash, equities tied to the capital of the issuing company (including listed, unlisted, domestic and foreign company stocks), bonds issued by the issuer (such as government and corporate bonds), commodities (such as precious and heavy metals, agricultural products and energy), derivatives (including swaps, options and futures), and real estate and collectibles (such as art, precious coins, wine and stamps, etc.).
Specifically, an enterprise must have certain material resources to engage in production and operation activities, such as monetary funds, factory buildings, machinery and equipment, raw materials, etc. These are the material basis for the enterprise to engage in production and operation and are all assets of the enterprise. In addition, intangible assets such as patent rights and trademark rights that do not have a physical form but are helpful in production and business activities, as well as investments by enterprises in other units, are also assets.