Elements Of Accounting

Asset: are useful or valuable things owned and controlled by the business to
earn income and profit. A business get economic benefit out of it.
Liability: is the money owned by the business for resources supplied by people
or organisation other than the owner. It is an obligation. Due to liability there
will be outflow of economic benefits.
Capital: is the amount invested in a business by the owner. It is the amount
that the business owes the owner.

Types of Assets

Non-Current Assets: these are assets bought to the business for usage in the
business rather than for making a sale.