Q 28. Consider the investments in the following assets:
1. Brand recognition 2. Inventory 3. Intellectual property 4. Mailing list of clients
How many of the above are considered intangible investments?
(a) Only one (b) Only two (c) Only three (d) All four
Correct Answer: Option (c)
The assets that cannot be touched are known as intangible assets. They are non-physical in nature and can be used for a year or more and the list includes brand value, goodwill, and intellectual property like trademarks, patents, copyrights, etc. A tangible asset is an asset that has physical substance. Examples include inventory, a building, rolling stock, manufacturing equipment or machinery, and office furniture. Hence, option (c) is correct.
