The common characteristic possessed by all assets is
A)long life.
B)great financial value.
C)physical substance.
D)future economic benefit.

Question

Quizplus · Accepted Answer

The common characteristic possessed by all assets is future economic benefit, meaning that they are expected to provide a positive financial return to the owner in the future. This benefit can come in the form of increased net worth or as a source of revenue, but it is the main reason why assets are acquired and held. Long life (A) and physical substance (C) are common characteristics of many assets, but not all (e.g. patents or copyrights). Great financial value (B) can be a characteristic of some assets, but it is not universal, and the value of an asset can change over time.

The Common Characteristic Possessed by All Assets Is