Intangible assets are defined as:

Intangible assets are defined as:

• A. A Tangible asset with physical substance
• B. B An identifiable non-monetary asset without physical substance
• C. C A monetary asset
• D. D A current asset

Answer: (B)

Intangible assets are identifiable non-monetary assets that have no physical substance. They derive value from rights or privileges, such as patents, trademarks, licenses, software, or goodwill, rather than from cash or physical objects. They are not monetary assets (like cash or receivables) and they aren’t tangible assets (like buildings or machinery) because they lack physical form. The key idea is that they represent separable rights or advantages that can be identified and measured even though they don’t exist in a physical shape.

Intangible assets are identifiable non-monetary assets that have no physical substance. They derive value from rights or privileges, such as patents, trademarks, licenses, software, or goodwill, rather than from cash or physical objects. They are not monetary assets (like cash or receivables) and they aren’t tangible assets (like buildings or machinery) because they lack physical form. The key idea is that they represent separable rights or advantages that can be identified and measured even though they don’t exist in a physical shape.