Define Intangible Assets

question 42

Essay

Define intangible assets. List several examples of intangible assets. How are intangible assets handled for financial reporting if their lives can be estimated? How are they handled for financial reporting if their lives cannot be estimated?

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Definitions:

Credit Customer

A customer who purchases goods or services on credit, agreeing to pay at a later specified date.

Expense

Money spent or cost incurred in an entity's efforts to generate revenue.

Asset

Resources owned by a business or individual that have economic value or future benefit.

Liability Account

A liability account records the obligations or debts a company owes to others, such as loans, accounts payable, and mortgages.