Non-financial assets - what is this

Non – financial assets- objects that are in use by business entities. They bring them actual or potential financial gain in the process of their application. Non-financial assets depending on the method of formation are divided into production and non-production types.

Production material non-financial assets

Production assets are fixed assets, used continuously and repeatedly for a long time (years) for the production of goods and services. Fixed assets are goods that are used only once: animals, plants, coal, etc.

Tangible assets: structures and buildings (non-residential), machinery and equipment. Equipment (production and business), vehicle, work cattle (not calves intended for slaughter), perennial plantings, the material OF which the other groups (animals in the zoo, libraries).

Production of intangible non-financial assets

This includes information found on an enclosed carrier. The value of intangible production assets is determined by the price of the information but not the carrier. Also belong to this group: exploration, computer software, works of art and literature. It also includes knowledge-intensive industrial technology.

Production of non-financial assets are stocks of material values and fixed assets. Are goods generated in earlier periods and in the current stage. It finished products, raw materials, production on the stage of completion.

Non-financial assets are the values. It is an expensive products, not intended for consumption or production. These values retain the value of precious stones and metals (resources for production); Antiques and works of art.

Intangible non-productive non-financial assets

This group includes legal forms, generated during production, which can move from one unit to another. These include documents that allow the holder to engage in certain activities. The composition of these assets include various agreements and leases with the right to transfer; the objects of patenting – the latest inventions, characterized by originality, who enjoy judicial protection under the law.

Material non-productive non-financial assets

This group includes the economic resources that can be renewable in a natural way or not (the area of land; water bodies in this area with the right of ownership to them). This group also includes minerals, underground resources, natural resources biological nature – flora and fauna.