文档介绍：Lesson Two
ASSETS
SECTION OF BALANCE SHEET
New Words, Phrases and Special Terms
Asset: mon terms any object, tangible or intangible ,that is of value to its possessor.
In most cases it either is cash or can be turned into cash; exceptions include prepayments, which may represent payments made for rent, rates, or motor licences, in cases in which the time paid for has not yet expired.
New Words, Phrases and Special Terms
Most accounting bodies throughout the world would now define an asset as a result of past transactions or events.
Tangible assets include land and buildings ,plant and machinery, fixtures and fittings, trading stock, investments, debtors, and cash;
Intangible assets include goodwill, patents, copyrights ,and trademarks.
New Words, Phrases and Special Terms
Liability: An obligation to transfer economic benefits (generally money) as a result of past transactions (. the purchase of a fixed asset or a circulating asset)
Contingent liability
Current liabilities
Deferred credit
Long-term liability
Secured liability
New Words, Phrases and Special Terms
Owner’s equity
The funds of anization that have been provided by its owners, . its total assets less its total liabilities.
The balance-sheet value of the owner’s equity is unlikely to be equal to its market value.
New Words, Phrases and Special Terms
Liquidity
The extent to which anization’s assets are liquid, enabling it to pay its debts when they fall due and also to move into new investment opportunities.
Liquidity management
Liquidity risk
Liquid ratio
New Words, Phrases and Special Terms
Accumulated depreciation (aggregate depreciation)
The total amount of the depreciation written off the cost price or valuation of a fixed asset since it was brought into the balance sheet of anization.
New Words, Phrases and Special Terms
Tangible asset
Assets that can be touched, such as land, buildings, and machinery, pared to intangible fixed assets, such as goodwill.
New Words, Phrases and S