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Wasting Asset - A wasting asset is an asset that has a limited lifetime. It decreases in value when time disappears. Options are a good example of a wasting asset - people choose to take options for a limited time to a set amount in order to change them for securities. When the time limit is reached and the options are not changed into stock, they lose their value. Companies often offer options to stock to their employees in order to let them invest in the company they work for. If the employee chooses not to change the options in for stock the options lose their value.
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