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CLASSIFICATION OF ASSETS ON THE BASIS OF CONVERTIBILITY TO CASH  FIXED ASSETS: THE ASSETS WHICH ARE PURCHASED OR ACQUIRED FOR LONG TERM USES. EX: BUILDING,PLANT,MACHINERY,FURNITURE ETC. 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 TANGIBLE : EX: BUILDING,PLANT,MACHINERY,CASH INTANGIBLE: EX: GOODWILL,PATENT,COPYRIGHT