What is a Tangible Asset?

Answer:
Tangible assets are items of value, owned by

an organization or individual, that have physical characteristics and/or monetary value. Tangible assets can be viewed and assigned an actual or estimated value through an appraisal.

Tangible assets are often referred to as real assets, because they have a physical presence.

Examples of tangible assets include:

·    Accounts Receivable
·    Buildings
·    Cash
·    Equipment
·    Inventory
·    Land
·    Machinery
·    Real Estate

Even though accounts receivables don’t literally have a physical presence, they are considered to be tangible assets for accounting purposes because they do have monetary value.

Tangible assets that are purchased as capital expenditures for use across multiple accounting periods are called fixed tangible assets.