How Do You Spell FIXED-ASSETS?

Pronunciation: [fˈɪkstˈasɛts] (IPA)

The term "fixed-assets" refers to long-term tangible assets used by a company to carry out its operations, such as buildings and machinery. The spelling of this term follows the standard English phonetic rules, with "fixed" being pronounced as /fɪkst/ and "assets" being pronounced as /ˈæsɛts/. The stresses fall on the first syllable of each word, as is common in English. Properly managing fixed-assets is crucial for companies to operate efficiently and maximize their return on investment.

FIXED-ASSETS Meaning and Definition

  1. Fixed assets are tangible resources owned by a company or organization that hold long-term value and are not intended for immediate conversion into cash. These assets are typically used in the production of goods or services and are expected to provide economic benefits to the entity for more than one accounting period. Fixed assets are classified as non-current assets on a company's balance sheet.

    Examples of fixed assets include buildings, land, machinery, vehicles, furniture, and computer equipment. These assets are distinct from current assets such as cash, accounts receivable, and inventory that are expected to be consumed or converted into cash within a year. Fixed assets possess physical substance, have a useful life longer than one year, and are not acquired for the purpose of resale.

    Fixed assets are initially recorded at their cost, which includes the purchase price, as well as any related expenses necessary to bring the asset to its intended use, such as installation or transportation costs. Over time, these assets are systematically depreciated, meaning their cost is allocated over their estimated useful lives. The depreciation expense is recognized as an operating expense on the income statement and reduces the carrying value of the fixed asset on the balance sheet.

    Fixed assets play a crucial role in a company's operations, providing the foundation for its productive activities. Proper management and maintenance of fixed assets are essential to ensure their continued usefulness and maximize their value to the business.

Common Misspellings for FIXED-ASSETS

  • fised assets
  • fixede assets
  • fixed assetes
  • fixxed assets
  • fixed assetts
  • fixedpassets
  • fixed0-assets
  • fixed-0assets
  • fixedp-assets
  • fixed-passets
  • fixed--assets
  • fixedmassets
  • Fixted-assets
  • Fixzes-assets

Etymology of FIXED-ASSETS

The term "fixed assets" is derived from two main components: "fixed" and "assets".

The word "fixed" comes from the Latin word "fixus", which means "to fasten, to attach, or to establish". In the context of assets, "fixed" refers to something that is physically attached or connected to a property or a business, and cannot be easily moved or liquidated.

The word "assets" is derived from the Old French word "assez" meaning "enough" or "sufficient". It gradually evolved into the Middle English word "asset", which originally referred to a property or possessions that were considered as financial resources.

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