1 5: Asset, Liability and Stockholders Equity Accounts Business LibreTexts

An asset can be thought of as something that, in the future, can generate cash flow, reduce expenses, or improve sales, regardless of whether it’s manufacturing equipment or a patent. Owners own a portion (and are therefore stockholders), which gives them fractional rights to company profits. When a company goes public, it splits stock into… Continue reading 1 5: Asset, Liability and Stockholders Equity Accounts Business LibreTexts