Definition
Intangible assets include patents, trademarks, copyrights, customer lists, and goodwill. Unlike tangible assets, they have no physical form but can be very valuable. Acquired intangibles are recorded at fair value; internally developed ones often aren't on the balance sheet.
Example
A pharmaceutical company's intangibles include $2B in drug patents (acquired), $500M in trademarks, and $1B in goodwill from acquisitions. Total: $3.5B in intangible assets.
FAQ
What is Intangible Assets?
Non-physical assets with economic value like patents and brands.
Why is Intangible Assets important?
Intangible Assets helps investors evaluate financial statements and make more informed decisions.