When to buy a new business asset.

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Asset in a company or business organisation comes as current of fixed . By current asset we mean non physical asset like cash or bank monetary facilities. And on the other hand fixed assets refers to physical type of asset that in turns are used to facilitate business practices and activities for profit making . But for the purpose of this thread I will be discussing about fixed asset , the goal of every company or business organisation has always been to make profit and to reduce cost , note that example of fixed asset include equipment , motovan , furnitures etc that belongs to the company or business organisation .

Most newly established companies today are computerize or equipment based , and will require some huge typed of machines and equipment to function and carry out business activities . And sometimes these machines tend to break down in the process of carrying out business activities leaving the owner of the business to decide whether he should buy a new business assets or not . The idea of buying a new business assets to be precise fixed asset is not a bad idea but first of all it is important to consider the financial standing of the business organisation in acquiring the assets . the big question every business owner must ask him or herself is that " do I really need the asset ? " and " Have I tried repairing the spoilt ones"? . Questions like these should be thoroughly examined and analysed .