Other intangible assets
Other intangible assets refer to all intangible assets owned by a company, excluding goodwill. Intangible assets refer to non-financial assets that cannot be touched, seen, or held, such as patents, copyrights, trademarks, etc. Other intangible assets may include special technologies, proprietary technologies, patents, trademark rights, copyrights, invention rights, etc.
Definition: Other intangible assets refer to all intangible assets owned by a company except for goodwill. Intangible assets are non-financial assets that cannot be touched, seen, or held, such as patents, copyrights, trademarks, etc. Other intangible assets can include special technologies, proprietary technologies, patents, trademark rights, copyrights, invention rights, etc.
Origin: The concept of intangible assets dates back to the Industrial Revolution when companies began to recognize the importance of intellectual property and technological innovation. Over time, laws and accounting standards have gradually improved, making the recognition and measurement of intangible assets more standardized.
Categories and Characteristics: Other intangible assets can be divided into the following categories:
- Patents: Legal rights that protect inventions and innovations, usually with a certain validity period.
- Trademark Rights: Protect brand identifiers and prevent unauthorized use by others.
- Copyrights: Protect original works such as literature, music, art, etc.
- Proprietary Technologies: Technologies and processes unique to a company, usually not disclosed.
Specific Cases:
- Case One: A tech company owns a crucial patent technology that gives its products a competitive edge in the market. Through patent licensing, the company can also generate additional revenue.
- Case Two: A well-known brand's trademark rights are protected globally, which not only enhances brand value but also prevents counterfeit products from appearing.
Common Questions:
- Question One: How to assess the value of other intangible assets?
Answer: Assessing the value of intangible assets usually requires considering their future economic benefits, market demand, and the validity period of legal protection. - Question Two: Can other intangible assets be amortized?
Answer: Yes, other intangible assets typically need to be amortized over their useful life to reflect their gradually decreasing economic value.
