Intangible assets, Accounting Standards

These are assets or things of value without physical dimensions. They cannot be touched; they representing intrinsic value without material being and they are incorporeal. One of the most general of these assets is goodwill. Goodwill reflects the capability of a firm to earn profits in excess of normal return. Approximately all firms may have much goodwill. Though, they appear in the books and balance sheet only when it has been purchased. Generally, when a going relates is purchased, so the purchase price paid in excess of the fair value of the assets is identified goodwill. The amount is classified as asset 'goodwill' on the balance sheet. As fixed assets, the value of intangible assets must also be expired over a period of time. That an expiration cost is termed as amortization, as the same to depreciation.

Posted Date: 4/3/2013 6:36:54 AM | Location : United States







Related Discussions:- Intangible assets, Assignment Help, Ask Question on Intangible assets, Get Answer, Expert's Help, Intangible assets Discussions

Write discussion on Intangible assets
Your posts are moderated
Related Questions
A company values its loose tools for inclusion in its balance sheet. The tools are not extremely valuable and the company uses estimating while valuing them. Which type of accou

Inventory Within a trading firm, inventory is merchandise held for sale to customers into the ordinary course of business. In condition of manufacturing firms, inventory would

A firm of manufactures, whose books are closed on 31st December, purchased machinery for Rs.50,000 on 15 January, 2010. Additional Machinery was acquired for Rs.10,000 on 1st July,



WHAT ARE THE AIMS AND OBJECTIVES IN STUDYING THE IMPACTS OF ACCOUNTING STANDARDS IN THE PREPARATION OF FINANCIAL STATEMENTS

Q. Explain accounting structure? The accounting structure of a profit seeking business is an information system designed to provide relevant financial information on the resour

the relevance of standard costing

AB Limited is a manufacturing entity that runs a number of operations including a bottling plant that bottles carbonated soft drinks. AB has been developing a new bottling process

Question 1: Businesses have become increasingly aware of the environmental implications of their operations, products and services. (a) Describe why businesses should be con