ASSET
Real or PERSONAL PROPERTY, whether tangible or
intangible, that has financial value and can be
used for the payment of its owner’s debts.
An accrued asset is one that arises from rev-
enue earned but not yet due. For example, an
accrued dividend is a share of the net earnings of
a corporation that has been declared but has not
yet been paid out to its shareholder(s).
In BANKRUPTCY, an asset is any form of
property owned by a debtor who is insolvent
that is not exempt from being used to repay
debts.
For INCOME TAX purposes, a capital asset is
property held by a taxpayer for personal enjoy-
ment or investment, such as a home, furniture,
stocks and bonds, or an automobile, but does
not include inventory, commercial accounts,
and notes receivable, depreciable property, com-
mercial property, copyrights, and short-term
government obligations. When a capital asset is
sold, any gain received is given preferential tax
