Assets are valuable resources owned by an individual or a business that can provide future economic benefits. They can take various forms, including cash, real estate, equipment, and investments. Assets are typically classified into two categories: current assets, which can be easily converted into cash within a year, and non-current assets, which are long-term investments. In accounting, assets are recorded on the balance sheet and are essential for assessing the financial health of an entity. Understanding assets helps individuals and businesses make informed decisions about spending, investing, and managing resources effectively.