ASSET SALE Definition

Bookmark and Share

ASSET SALE is the sale of certain named assets of a corporation, partnership or sole proprietorship. Usually the seller retains ownership of the cash and cash equivalents (such as Accounts Receivable) and the liabilities of the entity. The seller then will pay the liabilities with the cash, any down payment and the cash equivalents as they become cash. Assets named are typically trade name, trade fixtures, inventory, leasehold rights, telephone number rights and goodwill. Assets sold can be tangible or intangible.

Learn new Accounting Terms

SUPPLANT is to take the place of or move into the position of, e.g. the computer supplanted the slide rule.

BATCH is a collection of things or persons to be handled or processed together.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.