ACCOUNTS FOR TALLY PART 4

CLASSIFICATION OF ASSETS

ON THE BASIS OF CONVERTIBILITY TO CASH 

1. FIXED ASSETS: THE ASSETS WHICH ARE PURCHASED OR ACQUIRED FOR LONG TERM USES. EX: BUILDING,PLANT,MACHINERY,FURNITURE ETC.
2. CURRENT ASSETS; THE ASSETS WHICH ARE ALREADY IN THE FORM OF CASH OR WHICH CAN BE CONVERTED INTO CASH WITHIN A YEAR. EX: CASH,DEBTORS,BANK BALANCE,CLOSING STOCK ETC..

ON THE BASIS OF PHYSICAL EXISTENCE

1. TANGIBLE : EX: BUILDING,PLANT,MACHINERY,CASH
2. INTANGIBLE: EX: GOODWILL,PATENT,COPYRIGHT