What is Difference B/w Assets & Liabilities
Difference between assets and liabilities In business terms, assets and liabilities often aandppear together. They are the two fundamental elements that shape the financial health of your business and make up your company' balance sheet. What are assets? Assets are resources (tangible and intangible) that your business owns, and that can provide you with future economic benefit. They add value to your business, they can help you meet your commitments and increase your equity. See different types of business assets . What are liabilities? Liabilities are your business' debts or obligations which you need to fulfil in the future. This is the money you need to repay, the goods you need to provide or the services you need to perform. These responsibilities arise out of past transactions and need to be settled through the company's assets. Both assets and liabilities are reported on the company's balance sheet . While some assets are depreciable, liabilities are not