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250 words… Intangible Assets are those you can’t “touch or see” such as copyrights and patents. Pick two different types of intangible assets (such as patent and copyrights) and compare and contrast how they are capitalized and how they are amoritized (expensed over a number of years). Quickly talk about how you could manipulate the valuation of each for the benefit of the financial statement.
Two types of intangible assets are customer lists and branding. Customer lists drives the capital. Such as fictitious sales, it makes the revenue go up. Branding makes revenue go up because names hold weight such as buying Fruit Loops over Fruity O’s. having something be branded will bring in more money than having the same exact product with a different name.
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