Abstract:

The structure of economic entities has changed radically in the past years and intangible assets are usually their main patrimonial resources. The success of an entity and the certainty of the competitive advantage against the competition is no longer secured by the financial or physical capital but by the intangible assets that are „directly proportional” to the innovation degree displayed by the entity holding those assets. Unfortunately, traditional accounting has many deficiencies related to the measurement and reporting of this type of assets and that is why one of the aims of this paper is to emphasize and clarify these critical aspects associated with the accounting practice and procedures.