Which of the following is not typically considered an asset?

Which of the following is not typically considered an asset?

• A. Hockey sticks
• B. Mini ice rink for testing skates and pucks
• C. The contract with the hockey equipment bag supplier
• D. Ice skates in inventory

Answer: (C)

Assets are resources you own or control that are expected to bring future economic benefits. Hockey sticks are physical items you own and can use or sell, so they’re assets. A mini ice rink used for testing skates and pucks is equipment you control and that will be used to generate future benefits, so it’s also an asset. Ice skates in inventory are goods held for sale or use in operations, categorizing as a current asset. The contract with the hockey equipment bag supplier isn’t a resource you own or control; it’s an agreement that outlines future obligations and rights but doesn’t itself represent a present resource. Because it doesn’t directly provide ownership or a usable asset today, it isn’t considered an asset in the usual sense.

Assets are resources you own or control that are expected to bring future economic benefits. Hockey sticks are physical items you own and can use or sell, so they’re assets. A mini ice rink used for testing skates and pucks is equipment you control and that will be used to generate future benefits, so it’s also an asset. Ice skates in inventory are goods held for sale or use in operations, categorizing as a current asset.

The contract with the hockey equipment bag supplier isn’t a resource you own or control; it’s an agreement that outlines future obligations and rights but doesn’t itself represent a present resource. Because it doesn’t directly provide ownership or a usable asset today, it isn’t considered an asset in the usual sense.