Which of the following is NOT a characteristic of intangible assets?

Intangible assets are defined as non-monetary assets that do not have physical substance. Therefore, the characteristic that they do not possess physical substance is fundamental to their definition. Characteristics such as being identifiable and being classified as non-current assets are indeed true for intangible assets.

Being identifiable refers to the ability to distinguish an intangible asset from goodwill, which can arise from contractual or legal rights, design rights, patents, and trademarks that can be separated from the business. Furthermore, intangible assets are typically classified as non-current assets on the balance sheet because they provide economic benefits over a longer period than just one year.

In contrast, the statement about having physical substance directly contradicts the nature of intangible assets, making it the correct choice as the one that is NOT a characteristic of intangible assets.