Term: Fixed assets
What are fixed assets?
Fixed assets are any assets that cannot be easily converted to cash. They are typically tangible, physical things that have an economic life of longer than a year. These include buildings, vehicles, furniture and office equipment. Fixed assets normally don’t include intangible things like royalties and brand names.
Fixed assets are also known as non-current and long-term assets. They may also be referred to as property, plant and equipment. They are assets intended to be used within the business, not sold or converted to cash.