Audience: 

This is the first of a series of training posts and videos presenting accounting in simple-to-understand English for Small Businesses and Small Government Contractors.

The goal of RMOHC is to provide client empowerment and financial peace of mind through complete, compliant, and accurate accounting.

This first post deals with Assets, the first of 5 account types..

The 5 account types are: 

Assets
Liabilities
Equity
Income
Expenses

What are Assets?

They are things owned or controlled by your business.  These “things” benefit the business. 

Examples of assets you will recongnize are:

–Money you have – in the bank or your piggy bank (Cash)
–Money folks owe you – invoices you sent them to pay (called Receivables or Account Receivables)
–Current Assets – Prepaid Rent for the next 6 months (things that will benefit you for up to a year)
–Long Term Assets – Land, Buildings (things that you control and will benefit you for a year or more).

Remember:

Assets are things you own or control in your business that help you out. 

They include Cash, Receivables, Current Assets, and Long-Term Assets. 

Thank you for reading this post, watch for video series that will be coming out very soon. 

If this was helpful, please share this with your friends and colleagues. 

Here’s to your peace of mind!!
  -Michael

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