noncurrent asset
Quick Summary
In accounting, a noncurrent asset is a resource a company owns that is not expected to be converted into cash or consumed within one year or the company's normal operating cycle. These assets are listed on a company's balance sheet and represent long-term value.12
Examples of noncurrent assets include:
* Fixed assets: Tangible assets like land and buildings.12
* Intangible assets: Non-physical assets such as intellectual property.12
* Long-term investments: Investments held for more than a year.12
* Noncurrent receivables: Money owed to the company that is due beyond the next operating cycle.12
The value of some noncurrent assets, like equipment, decreases over time due to use or obsolescence. This decrease in value is accounted for through depreciation.3
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