Assets are valuable resources owned by an individual or a business. They can take many forms, including cash, real estate, equipment, and investments. Assets are important because they can be used to generate income or can be sold for cash if needed. In accounting, assets are classified into two main categories: current assets and non-current assets. Current assets, like cash and inventory, are expected to be converted into cash within a year. Non-current assets, such as property and machinery, are long-term investments that provide value over a longer period.