Nonfinancial Asset: Definition, How It’s Valued, and Examples
Examples of non-financial non-produced assets include natural resources (minerals, water resources, virgin forests, etc.) leases and licenses. For example, futures contracts are based on the value of commodities, which are tangible assets with inherent value. The seller of the non-financial asset only initiates a sale when they find a potential buyer and negotiates an agreeable purchase price for the asset.…