Assets

Assets mean all the things owned by an entity and the potential future benefits of the entity. They are also called economic resources and have future economic value measured in money. Assets are typically reported on the balance sheet at or below cost for short-term assets and at historical cost for long-term assets. Assets are also part of the accounting equation: Assets = Liabilities + Owner's Equity

- Used in planning, organizing, and controlling business operations.
- Used when setting KPIs, policies, procedures, and improving processes.

- Example: Management applies **Assets** when designing policies and monitoring performance against targets.

- Why it matters: Improves execution, accountability, and decision speed while reducing operational waste.