What is an asset versus what is capital? How I understand asset is anything that can be sold for money I think this is probably wrong ?
- AmyLv 74 weeks agoFavorite Answer
An asset is anything valuable. If you're trying to add up your assets vs liabilities, you can only put a dollar value on the ones that can be sold. But intangible things like a brand name's reputation are also assets.
Capital is assets that can be used to generate more money. It mostly refers to money that is available to invest. A business's capital includes factories and equipment.
The house you live in is an asset, but a house you rent out is capital.