What is the difference between Tangible and Intangible?

Tangible and intangible are terms customarily used in accounting to refer to two types of assets. The difference between tangible and intangible is something that cannot be seen. Assets divided into tangible and intangible assets. A tangible asset is cash, property, plant and machinery or investments. Intangible assets are resources that cannot be seen, and these would include the goodwill of a company, trademark, and intellectual property rights.

One other distinction between the two types of assets lies in the fashion in which the cost of these assets is calculated over some time. Tangible assets get depreciated. Intangible assets such as plant and machinery lose their value over time. Tangible assets can be bought and sold, while intangible assets are difficult to sell in the market.