What are non-current assets?

Non-current assets (definition)

Non-current assets are assets and property owned by a business that are not easily converted to cash within a year. They may also be called long-term assets.

Non-current assets are for long-term use by the business and are expected to help generate income. Non-current assets commonly include:

• long-term investments such as such as bonds and shares
  fixed assets such as property, plant and equipment
  intangible assets such as copyrights and patents

Non-current assets are capitalised instead of being expensed like current assets. Rather than listing the asset as an expense on the profit and loss statement, the asset is added to the company’s balance sheet and depreciated over its useful life.