Saturday, May 28, 2022

TANGIBLE & INTANGIBLE ASSETS / DEPRECIATION VS. AMORTIZATION / ACCOUNTING FOR BEGINNERS #101

Yo yo yo CPA strength here back withanother video you already have some fun learn some accounting and let's just getit in this is accounting for beginners 101 I have a complete playlist over hereso check this out if you want to see more kind videos it's a really goodplaylist I have this thing dc-8 ler helps a lot of people well let's getthis in I got this I got this from a comment from a video I answer allcomments and if you have a question for another video let me know because I knowthis will at least help one person out and I'm all about helping people solet's get this in this is tangible assets first intangible assets and Ijust want to keep this will just go an .

Inch deep on this let's keep it verytricky but very simple now you have an asset I I lookedwhat's an asset it provides an economic benefit it provides a benefit somethingthat provides a benefit to the company let's say like that now you have eitherit's going to be a tangible asset or an intangible asset tangible asset you canit has physical form you can touch it see it move it intangible not physicalin nature can't touch see or move you don't wantto really overthink this there are some that can be and like I left them out butjust you don't want to overthink this if you think it's a tangible asset itprobably is you know examples of a .

Tangible asset tangible assets machinecan you touch see and move a machine like a bulldozer yeah I can I can touchit I can see it I can move it from place to place that's tangible touch tangibleintangible is really just say opposite of tangible a building now see you haveto just use your common sense like you can't press you could move somebuildings but you know you can't leave move a building but can I touch it can Isee it you know I can touch the building touch the walls can I go inside thebuilding yes I guess you could move it it's physical nature though a vehicle acar or a truck or whatever can I see can I see ityes can I touch it yes can I move it yes .

Inventory can I can I touch theinventory can I move the inventory can I see the inventory yes those are allexamples of tangible goods has physical form touch see and move I left out someI left out some that are like maybe but these are like the for sure one so youknow this is really this is probably for you want to know or you want to pass anaccounting test so let's just go let's just keep her the easy ones now I thinkyou know the best way to know is examples so those were these are goodexamples of tangible assets what are good examples of in tangible assets notphysical in nature can't touch can't see you know and I do have to say a littlecaveat from the intangible I mean see a .

House might be like nitpicky like youdon't want to be like patent is it intangible you're like oh well I can seethe patent paper we're not talking about just a paper you got to think of what isa patent it's it's an eye it's an idea it's an intellectual idea these are moreintangible I think you could say see tangible you could say touch tangibletouch intangible is more of intellectual right intellectual intangible and Istart to the to intellectual probably spelt thatwrong but you get it I'm not that intellectual I spelt that wrong but it'sokay not a spelling bee champ here so patentis an idea for you know can you type .

It's just an idea it says hey this is myidea how to do something you're not allowed to use this certain idea ormethod for you so I want to protect myself so it's the patent is is an ideayou can't really touch or move the idea copyright lets Google search where itsays one of the copyright is your so I won't like a jackass totally althoughI'm looking like a jackass here copy copyright intellectual property protectsoriginal works of authorship trademarks is like your symbol now I know you couldtouch the symbol but it's like no that's my ideathat's my intellectual property of a trademark now goodwill is a very goodwill is a very good example of .

Intangible goods meaning the goodwill isis the the aura the essence of a company you can't really you can't really seethe goodwill it's just like the name recognition like I don't know coke CocaCola you know everyone knows coca-cola and stuff like that now when you're ifyou would buy their business they might have tangible they have tangible goodsyou know all their machines all their buildings all their inventory you knowtheir soft drinks and stuff so all that might addto a certain amount of money you know like twenty billion dollars might be alltheir tangible assets but then they might say oh well we're gonna simplysell it to you for four thirty billion .

You know ten more billion than ourphysical assets because of the goodwill because of the name recognition thebrand recognition but you can't really touch the goodwill so that's intangibleso those are examples of tangible and intangible now you're not gonna you'renot going to always depreciate all tangible assets but if you do youdeplete you depreciate depreciation for tangible assets amortization forintangible assets anyways this is accounting for beginners 101 I hope tosee you back soon I love doing these videos I love helping people I hope thishelped you in anyways until next time deuces .

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