I. Reading Exercises:

Exercise 1. Read and memorize using a dictionary:

intangible, provision, collaboration, leverage, defensible, wastage, revenues, copyright, enhance, impairment, goodwill

Exercise 2. Answer the questions:

1) What are two primary forms of intangibles?

2) How much money is spent each year by corporations to research and develop new intangible assets?

3) How do corporations protect their research and development efforts?

4) What do treasury regulations generally require?

Exercise 3. Match the left part with the right:

1. Legal intangibles generate legal property rights	a) include copyrights and patents.
2. Examples of intangible assets with identifiable useful lives	b) defensible in a court of law.
3. For personal income tax purposes, some costs with respect to intangible assets	c) of competitive intangibles for organizations today.
4. Human capital is the primary source	d) must be capitalized rather than treated as deductible expenses .

Exercise 4. Open brackets choosing the right words:

Competitive intangibles, whilst legally non-ownable, directly (implement/impact) effectiveness, productivity, wastage, and opportunity costs (within/outside) an organization - and therefore costs, revenues, customer service, satisfaction, market value, and share price.

THE SPEAKING MODULE

II. Speaking Exercises:

Exercise 1. Describe intangible assets, copyright, goodwill trademark, income tax

using the suggested words and expressions as in example:

intangible assets assets, non-monetary, defined, are, be, cannot, seen, physically, touched, measured, created, time, are, through, effort, and/or example: Intangible assets are defined as those non-monetary assets that cannot be seen, touched or physically measured and which are created through time and/or effort.

copyright right, the exclusive, copies, to produce, granted, by law

goodwill of the company, the success, and, with its customers, good, relationships, its, calculated, when, sold, it is, of its, part, value, as

trademark name, or sign, special, on a product, that is marked, to show, is made, that, by a company, particular

income tax paid, tax, that, earn, on the money, you

Exercise 2. Ask questions to the given answers:

1) Question: ___________________________________________ ?

Answer: Competitive intangibles are the source from which competitive advantage flows, or is destroyed.

2) Question: ___________________________________________ ?

Answer: Legal intangibles that are developed internally are not recognized and legal intangibles that are purchased from third-parties are recognized.

3) Question: ___________________________________________ ?

Answer: An impairment loss is determined by subtracting the asset's fair value from the asset's book/carrying value.