Fixed assets are assets that have a useful life of more than one year. Fixed assets include property, plant, and equipment and are recorded on the balance sheet.

Investopedia / Laura Porter Accounting for Fixed Assets A company's balance sheet statement includes its assets, liabilities, and shareholder equity.

Most balance sheets list current assets before fixed assets and often separate them into these categories for ease of reading. The sum of assets equal the sum of liabilities and equity in all cases.

A balance sheet uses a formula that equates a company's assets with its liabilities plus its shareholder equity. The equation should always be in "balance," with the two sides equal.

Learn more about what fixed assets are, including some examples, benefits, and strategies for managing them to help your business succeed.

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Fixed assets are recorded on a company's balance sheet, usually with the "property, plant, and equipment" classification.