Explain The Difference Between Tangible And Intangible Fixed Assets?

What is the difference between tangible and intangible assets? Give an example of each.

Tangible assets are assets that have physical form (a definite size and shape). Examples of tangible assets are land, buildings and different types of equipment (computers, delivery truck, office furniture and others). Intangible assets are rights that result from ownership of long-lived assets and do not have physical form. Examples of intangible assets are patents, goodwill, trade names, franchises and others.
Accounting for tangible and intangible assets is different. The process of depreciation is used to match the cost of tangible assets to its useful life (except land, because land is not a depreciable asset). The process of amortization is used to allocate the cost of intangibles (except intangible assets with indefinite lives, because it should not be amortized).
Tangible and intangible assets have different presentation on the Balance Sheet. Tangible assets are usually shown under “Property, plant, and equipment” or “Tangible assets”. Intangible assets are shown under “Intangible assets”. Intangibles do not usually use a contra asset account like the contra asset account Accumulated Depreciation used for tangible assets. Instead, companies record amortization of intangibles as a direct decrease (credit) to the asset account.
Goodwill is a very important intangible asset, and management of any company should examine it more often than any other asset to keep it in a proper condition and to avoid any losts.