What Is an Identifiable Asset?

Identifiable assets are assets that can be proved by ownership or right of use! For example, fixed assets, intangible assets, inventory, etc. Goodwill is non-identifiable assets. Most assets other than goodwill are identifiable assets.

Identifiable assets

Right!

Identifiable assets are assets that can be proved by ownership or right of use! Such as fixed assets,

Identifiable assets are those with a special name, which can be acquired or transferred separately, or as a group of certain assets ... It includes patents, non-patented technologies, trademark rights, copyrights, land use rights, concessions, etc. It is the symmetry of "unidentifiable intangible assets".

Identifiable assets have been a relatively frequent concept in accounting standards, but people's understanding of them has only remained paradoxical. In the newly released "Accounting Standards for Business Enterprises No. 6-Intangible Assets", the concept of "identifiable" was put forward when defining intangible assets. Article 3 of the standard: Intangible assets refer to identifiable non-monetary assets without physical form owned or controlled by an enterprise. The new standard establishes two conditions to enable assets to meet the identifiability criteria in the definition of intangible assets. ^[1]

1. Can be separated or divided from the enterprise, and can be used alone, or together with related contracts, assets or liabilities, for sale, transfer, licensing, lease or exchange.

2. Derived from contractual rights or other statutory rights, whether or not these rights can be transferred or separated from corporate or other rights and obligations.

The new standard considers that meeting one of the two meets the standard of recognizability.

obviously. The two conditions given in the new standard are only the identifiability standards in the definition of intangible assets, and their main purpose is to distinguish intangible assets from goodwill. We can see from the given two conditions that the accounting standard's interpretation of "identifiable" is relatively accurate. It captures the key of identifiable and non-identifiable, whether this asset can be separated from the corporate entity. We can expand this condition as a condition to distinguish identifiable assets from non-identifiable assets. When making this distinction, we must take the first condition as the criterion. Because the second condition is very vague and lacks operability. But we can see it as a complement to the first condition. Clear identifiability standards allow us to clearly define the scope of identifiable assets, which can more clearly guide the problems that arise in mergers and acquisitions of enterprises.