Intangible assets refer to identifiable non-monetary assets that have no physical form and are owned or controlled by enterprises.
If an asset meets one of the following conditions, it meets the identifiability standard in the definition of intangible assets:
1, which can be separated or split from the enterprise and can be used for sale, transfer, license, lease or exchange alone or together with related contracts, assets or liabilities.
2, from the contract rights or other legal rights, regardless of whether these rights can be transferred or separated from the enterprise or other rights and obligations.
Intangible assets mainly include patent right, non-patented technology, trademark right, copyright, land use right, franchise and so on.
The existence of goodwill is inseparable from the enterprise itself, which is unrecognizable and does not belong to the intangible assets referred to in this chapter.
Intangible assets can be divided into broad sense and narrow sense. Intangible assets in a broad sense include monetary funds, accounts receivable, financial assets, long-term equity investment, patent rights, trademark rights and so on. Because they have no material entity, they show some legal rights or technologies. But intangible assets are usually understood in a narrow sense in accounting, that is, patent rights and trademark rights are called intangible assets.
Non-patented technology meets these two criteria, so it is also an intangible asset.