The present research has identified that identification of an intangible asset is possible if it attains a specific criterion. The criteria used in the recognition of these assets involve a demonstration by the entity that the item meets the outlined definition of an intangible asset and the recognition criteria. Intangible assets that meet the relevant criteria are measurable at cost, subsequently measured at cost or using the revaluation model and amortized on a systematic basis over their useful lives. However, intangible assets with indefinite useful life are not amortized. Examples of assets that may remain classified as intangible items include trademarks, patents, fishing licenses, and computer software and import duties. An asset is identifiable when it is transferrable separately, rented, exchanged or licensed. An intangible asset is recognizable if there exist probability of expected future economic benefits related to the asset will flow and entity or cost of the asset that is measurable reliably. Most often, it is confused how intangible assets can be classified as non-monetary when valuing them in the financial statements. In the definition, items such as cash, bank deposits, and trade receivables are monetary assets and remain excluded. In addition, brand image and goodwill are intangible assets instances that need separate identification before inclusion as business assets. Where there exists external acquisition of goodwill and brands, their cost and existence remain identified and capitalized. Internally generated goodwill is not recognizable as an asset since it is not distinguishable from the business. Moreover, goodwill does not arise from contractual or other legal rights. Its cost cannot remain measured reliably.