What is the net assets of an enterprise?
Net assets are discretionary assets, that is, the total value of the owner's assets, which is simply deposits, stocks, funds, real estate, cars and so on. In my own name. The net assets of an enterprise refer to its total assets minus its liabilities. Accounting net assets are also called owners' equity. Refers to the residual rights and interests enjoyed by the owner in the assets of the enterprise, the amount of which is the balance of assets MINUS liabilities, including paid-in capital, capital reserve, surplus reserve and undistributed profit.
The net assets of an enterprise refer to the net amount of its total assets minus liabilities, which is equal to the balance of all its assets minus liabilities in quantity. Belong to the owner's equity. Net assets are the owner's equity in the balance sheet. They are owned by enterprises and can be freely controlled. They consist of two parts, one part is the capital invested by the enterprise at the beginning, including the premium part, and the other part is the assets created by the enterprise in the course of operation, including the donated assets.
Net assets are the company's own capital, but for joint-stock companies, net assets are the property owned by shareholders, which is now commonly known as shareholders' equity. Net assets are total assets minus the company's external liabilities.
What's the difference between net assets and total assets?
1. Total assets refer to all assets owned or controlled by an enterprise. Including current assets, long-term investments, fixed assets, intangible and deferred assets and other long-term assets. , that is, the total assets on the balance sheet of the enterprise.
(1) Current assets refer to the total assets that an enterprise can realize or consume within one year or more than one year's production cycle. Including cash and various deposits, short-term investments, receivables and prepayments, inventories, etc.
(2) Fixed assets refer to the total amount of funds occupied by the net fixed assets, fixed assets clearing, projects under construction and losses of fixed assets to be handled.
(3) Intangible assets refer to assets that have been used by enterprises for a long time and have no physical form. Including patent right, non-patented technology, trademark right, copyright, land use right,
2. Net assets are owners' equity, including paid-in capital, capital reserve, surplus reserve and undistributed profits. Net assets (total owners' equity) = total assets-total liabilities.
To sum up, the net assets of an enterprise are total assets minus total liabilities, that is, investors' equity. Net assets include paid-in capital, capital reserve and undistributed profits. For investors, the analysis of net assets is much more important than total assets, and high net assets symbolize good business operation.