Intangible assets refer to identifiable non-monetary assets without physical form. Intangible assets can be divided into broad sense and narrow sense. Intangible assets in a broad sense include financial assets, long-term equity investment, patent rights and trademark rights. The high proportion of intangible assets shows that technology and goodwill are of high value, which can bring high returns and high risks. Look at the existence of intangible assets, whether it can bring income expectations.

Intangible assets in a broad sense include financial assets, long-term equity investment, patent rights, trademark rights and so on. Because they have no material entity, but are represented by some legal rights or technologies. Intangible assets can be recognized only when the following conditions are met: 1. The economic benefits related to the intangible assets are likely to flow into the enterprise; As an intangible asset, a project must have the conditions that the economic benefits of its production are likely to flow into the enterprise. Because the most basic feature of assets is that the expected economic benefits generated are likely to flow into the enterprise, if the expected economic benefits generated by a project cannot flow into the enterprise, it cannot be recognized as the assets of the enterprise. In accounting practice, to determine whether the economic benefits created by intangible assets may flow into enterprises, it is necessary to make reasonable estimates of various economic factors that may exist in the expected service life of intangible assets, and should be supported by clear evidence. 2. The cost of the intangible asset can be measured reliably. Self-created goodwill of enterprises and internally generated brands, registrations, etc. It should not be recognized as intangible assets because its cost cannot be measured reliably.

Intangible assets are usually measured at actual cost, that is, all expenses incurred in obtaining intangible assets and making them reach the predetermined usable state are regarded as the cost of intangible assets. For intangible assets obtained from different sources, their initial cost composition is also different. The cost of self-developed intangible assets includes all the expenses incurred from the time when the intangible assets are confirmed to the time when they reach the scheduled usable state, but the expenses already spent in the previous period are no longer adjusted. If the service life of intangible assets is limited, the number of years of service life or the number of similar units of measurement such as output that constitute the service life shall be estimated; If it is impossible to foresee the period during which intangible assets will bring economic benefits to enterprises, they are regarded as intangible assets with uncertain service life. (1) Intangible assets held by enterprises usually come from contractual rights or other legal rights, and the contract or law stipulates a clear service life.