Green’s Dictionary of Slang

assed out adj.

[ass n. (2)]

1. (US black) dead, killed.

[US]Digital Underground ‘Heartbeat Props’ [lyrics] Blast out, before we’re all assed-out.
[US]L. Stavsky et al. A2Z 2: assed-out – finished, as good as dead: You mess with Mo and you assed-out.
[US]Dr Dre ‘Housewife’ [lyrics] Man it’s a trip I don’t trip I’m in yo’ Lexus flexin / I left her up in Dallas, Texas – assed-out.

2. (US black) down on one’s luck, in a bad situation (cf. ass-out under ass n.).

A.L.T. ‘Audi 5000’ [lyrics] BMW’s home now, and so you assed-out.
[US]Da Bomb [Internet] ass out/ assed out (adj) {possibly offensive} Broke or dumb out of luck. I am assed out for my class this afternoon ’cuz I forgot to do my homework. [Edison College, Ft. Myers, FL.; University of Southern California, Los Angeles, CA, 1999].
[US]Ebonics Primer at www.dolemite.com [Internet] assed out Definition: [...] down on your luck.
J. Cole ‘God’s Gift’ [lyrics] If I was on my last dollar, dead broke, assed out, would ya love me?