Intermediate Accounting For Dummies

Chapter 13

Keeping Track of Other Noncurrent Assets

In This Chapter

Getting familiar with different types of intangible assets

Combining business with goodwill

Carrying intangibles on the balance sheet

Expensing research and development

Preparing the intangible asset section of a balance sheet

Part III of this book is all about assets, current and noncurrent. Noncurrent assets are assets with a life of longer than one year. Your biggie noncurrent assets are tangible and intangible assets. I discuss issues related to tangible assets, which have a physical presence, including property, plant, and equipment, in Chapters 11 and 12. Other examples of noncurrent assets are investments the company plans on holding for more than one year and deferred income tax assets (see Chapter 17).

This chapter talks about intangible assets. As you may derive from their name, these assets lack a physical presence. Some examples are patents, copyrights, and trademarks. Goodwill is another type of intangible ...