Which of the following is NOT considered a fixed asset?

In the context of asset management, fixed assets are long-term tangible assets that are used in the operations of a business and are not expected to be converted into cash within a year. Examples of fixed assets include land, office equipment, and motor vehicles, as these items provide value over an extended period and support the company's operational functions.

Inventory, however, is categorized differently. It represents the goods and materials a business holds for the purpose of resale or production. While inventory is crucial for business operations, it is not classified as a fixed asset because it is expected to be sold or used within a short time frame, typically within a year. Therefore, it is classified as a current asset rather than a fixed asset.

Understanding the distinction between fixed assets and current assets, such as inventory, is essential for accurate financial reporting and effective asset management. This classification helps organizations manage their resources effectively and provides insight into their financial health.