Question

Granger has a boat worth $4,000 and a car worth about $8,000. He also has roughly $500 worth of tools. What is the value of assets?

Answer 1

Answer:

$12,500

Explanation:

Assets are classified under current and fixed categories. Among items that Granger owns, a boat is an asset; specifically a fixed asset since it can be utilized over a year. Same reason for a car, which is also a fixed asset. Tools help in operating a business hence considered fixed assets as they can be utilized for more than a year. The total value of assets is (4000+8000+500)

Total value = $12,500