Intangible assets are defined as:

Intangible assets are indeed long-term assets that lack a physical form but still hold significant value for a business. These assets can include items such as trademarks, patents, copyrights, and brand recognition, which contribute to the overall worth of a company without being tangible objects that can be touched or seen.

The value of intangible assets often arises from the benefits they bring to a company, such as competitive advantage, brand loyalty, and exclusive rights to produce or sell certain products. By acknowledging that they are critical to business operations and profitability, companies account for these assets on their balance sheets, emphasizing their importance in overall asset management and valuation.

In contrast, options that represent tangible assets, financial instruments, or liquid assets do not apply to the definition of intangible assets. Understanding this distinction is key in the field of management and finance, as it plays a crucial role in company valuations and strategic decision-making.