Which of the following best defines an asset?

The definition of an asset centers on its role as a resource that is controlled by a business and is expected to yield future economic benefits. This reflects the fundamental accounting principle that assets are what a business owns or controls that will help it generate revenue in the future.

Assets are crucial for operations, as they can come in various forms such as cash, inventory, property, equipment, and receivables, all contributing to a company's capacity to conduct business and earn profit over time. In this context, the focus on control implies that the business has rights over the resource, and the expectation of future benefits emphasizes the timing of economic gain—the purpose of acquiring such resources.

The other options misrepresent the concept of an asset. For instance, defining an asset as a resource owned by a competitor does not pertain to the business's own resources and future benefits. Similarly, a liability is fundamentally the opposite of an asset, representing an obligation rather than a resource. Lastly, while an investment made by the owner might be part of the overall financial picture, it does not encapsulate the broader definition of an asset, which encompasses all resources the business possesses, not just those directly tied to investments.