Asked by Harish Ravalla on Jul 04, 2024
Verified
An intangible asset must be identifiable.
Intangible Asset
An asset that is not physical in nature, such as patents, trademarks, and goodwill, which has value due to its potential to generate economic benefits.
Identifiable
Capable of being recognized and distinguished from others, often used in accounting and finance to describe assets that can be attributed to a particular entity.
- Comprehend the criteria for asset recognition and capitalization of costs associated with acquisition and improvement.
Verified Answer
RT
Riddim TingsJul 09, 2024
Final Answer :
True
Explanation :
An intangible asset must be identifiable, meaning it can be separated from the company or arises from contractual or legal rights, making it distinguishable from goodwill.
Learning Objectives
- Comprehend the criteria for asset recognition and capitalization of costs associated with acquisition and improvement.
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