Computer softwares cannot be touched.Also computers are fixed assets.So computer software is a fixed intangible assets

Computer software is shown under the Fixed intangible Assets category.

Explanation:
Fixed intangible assets are assets that have no physical substance but hold value for the company. They are long-term assets that cannot be touched or seen but provide economic benefits to the organization.

Computer software falls under the category of fixed intangible assets because it is an intangible asset that has a long useful life and provides economic benefits to the company. Here's why computer software is considered a fixed intangible asset:

1. Nature of computer software:
- Computer software is intangible, meaning it cannot be physically touched or seen.
- It is a non-physical asset that is developed or acquired by a company for its own use.
- Computer software includes programs, applications, operating systems, and databases.

2. Criteria for recognition as a fixed intangible asset:
- For computer software to be recognized as a fixed intangible asset, it must meet certain criteria:
a) It must be identifiable, meaning it can be separated from the company and sold, transferred, or licensed.
b) It must be controlled by the company, either through legal rights or other means.
c) It must provide future economic benefits to the company.

3. Treatment in financial statements:
- Fixed intangible assets, including computer software, are recorded in the balance sheet of the company.
- They are reported at cost, which includes the purchase price, development costs, and any directly attributable costs.
- The cost of computer software is amortized over its useful life, reflecting the consumption of its economic benefits.
- The amortization expense is recognized in the income statement as an operating expense.

Conclusion:
Computer software is classified as a fixed intangible asset because it meets the criteria of being identifiable, controlled, and providing future economic benefits to the company. It is recorded in the balance sheet at cost and amortized over its useful life.