In general, it may be said that
March 22, 2018
“In general, it may be said that little if any weight should be given to the figures at which intangible assets appear on the balance sheet. Such intangibles may have a very large value indeed, but it is the income account and not the balance sheet that offers the clue to this value. In other words, it is the earning power of these intangibles, rather than their balance sheet valuation, that really counts.” – Ben Graham, The Interpretation of Financial Statements, 1937
