Plenty of people wrong in distinguished between assets and liability. They considered house bought to be assets, and vehicle bought to be liability. House that was bought by you could become an asset and could also could become liability, also about vehicle that was bought by you. Understanding of assets are something produced and entered your cash flow. Although results very little, so continue to assets. Whereas liability are something always undermined your cash flow and never results entered your pocket. "How about with my house?" Sometime for future price will increase, that an asset?. "How did you think if buying vehicle could become an asset? Won't price of second-hand vehicle immediately fall if compared when I bought new vehicle?" . And many others question connected with assets and liability. Let's discussed about that two questions.
"How about with my house?" Sometime for future price will increase, that an asset?
When you bought a house then several years of selling price always will increase. With even more of them inhabitants's birth rate, then increasingly area reduction for residence. So that will make price of house and land will increase. But not always in buying house was an asset. When you bought a house, you must spend for cost for electricity bill, telephone bill, water bill, tax bill etc. Did these issuings be not some liabailitas? It is another matter when you bought a piece of land and then built him to several houses or boarding house and then you can rent that house or boarding house. Each month will have cash flow that entered your pocket and you might not spend cost like for electricity bill, water bill, and telephone bill. Every month always will come the cash flow that took the form of money for rent.
"How did you think if buying vehicle could become an asset? Won't price of second-hand vehicle immediately fall if compared when I bought new vehicle?"
Its true, price of second-hand vehicle and price of vehicle just he thought not be the same and might be said price of second-hand car descended almost 40% if compared with new car that was bought by you then 2 years afterwards you sold. Bought a vehicle could become something liability and could become aset. Why i have opinion like that? Like this, you have a small business and must send order with distance around 20 km or 40 km from your place. When you leased transport implement could you imagined when you must send order with minimal frequency 30 times in a month and how many fees that will be money spent by you?
All that was had by us could become assets and liability, depended how used. Now you must judge all that you will buy. You must judge him whether something that you will become an asset or will become liability. You must think about your child's future and all was on your hands. God will not change your fate if you did not change.
"How about with my house?" Sometime for future price will increase, that an asset?
When you bought a house then several years of selling price always will increase. With even more of them inhabitants's birth rate, then increasingly area reduction for residence. So that will make price of house and land will increase. But not always in buying house was an asset. When you bought a house, you must spend for cost for electricity bill, telephone bill, water bill, tax bill etc. Did these issuings be not some liabailitas? It is another matter when you bought a piece of land and then built him to several houses or boarding house and then you can rent that house or boarding house. Each month will have cash flow that entered your pocket and you might not spend cost like for electricity bill, water bill, and telephone bill. Every month always will come the cash flow that took the form of money for rent.
"How did you think if buying vehicle could become an asset? Won't price of second-hand vehicle immediately fall if compared when I bought new vehicle?"
Its true, price of second-hand vehicle and price of vehicle just he thought not be the same and might be said price of second-hand car descended almost 40% if compared with new car that was bought by you then 2 years afterwards you sold. Bought a vehicle could become something liability and could become aset. Why i have opinion like that? Like this, you have a small business and must send order with distance around 20 km or 40 km from your place. When you leased transport implement could you imagined when you must send order with minimal frequency 30 times in a month and how many fees that will be money spent by you?
All that was had by us could become assets and liability, depended how used. Now you must judge all that you will buy. You must judge him whether something that you will become an asset or will become liability. You must think about your child's future and all was on your hands. God will not change your fate if you did not change.
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