An example of an intangible asset classification on a balance sheet is:
A) rights held for a radio licence to the Himalayas.
B) shares in BHP Limited.
C) improvements to electric cables.
D) interest on debentures due to be paid in 2010.

Question

Quizplus · Accepted Answer

The rights held for a radio licence to the Himalayas is an intangible asset as it represents a legal right or privilege that has value, but cannot be physically touched or seen. The other options (shares in BHP Limited, improvements to electric cables, and interest on debentures due to be paid in 2010) are either investments in other companies or tangible assets that can be physically seen or touched.

An Example of an Intangible Asset Classification on a Balance