E$11\mathrm{.}1(LO1{?}_{(}),4_{?})($Classification Issues$-$Intangibles$)$ The following is a list of items that could be included in the intangible assets section of the balance sheet.

Investment in a subsidiary company.

Timberland.

Cost of engineering activity required to advance the design of a product to the manufacturing stage.

Lease prepayment $(6$ months' rent paid in advance$).$

Cost of equipment obtained.

Cost of searching for applications of new research findings.

Costs incurred in the formation of a corporation.

Operating losses incurred in the start$-$up of a business.

Training costs incurred in start$-$up of new operation.

Purchase cost of a franchise.

Goodwill generated internally.

Cost of testing in search for product alternatives.

Goodwill acquired in the purchase of a business.

Cost of developing a patent.

Cost of purchasing a patent from an inventor.

Legal costs incurred in securing a patent.