Intangible Assets

Question 1

Brands

Answer 1

Names can be bought and sold

If business buys brand name it is likely to produce income over long period of time

Question 2

Mineral extraction rights

Answer 2

Piece of land contains valuable minerals its owner can make profits by extracting ores,processing and selling them
Owner may get someone else to do it by granting license over extraction rights-rights over piece of land not all of land

Question 3

Parents&licenses

Answer 3

The inventor lays claim ownership of the knowledge by registering a patent which affirms his rights over the knowledge
Manufacturer is buying rights to access the investors knowledge

Question 4

Newspaper titles

Answer 4

Similar to brands
Valuable if now and larger following
Possible to buy and sell titles-sometimes known as “mastheads”
Title is bought-intangible non-current asset

Question 5

Staff

Answer 5

Controlled to a limited extent
They go home at the day of the working day- a machine does not
Football players- not control over the person but control over the contract