What term refers to intangible items that cannot be physically touched?

The term that refers to intangible items that cannot be physically touched is "services." Services are activities or tasks performed to fulfill a need or want, and they do not result in ownership of a physical product. Examples of services include consulting, education, and maintenance work, which are experienced rather than owned. This distinguishing characteristic of services is what sets them apart from physical products, assets, and inventory.

Assets can encompass both tangible and intangible items, but they typically involve items that an entity owns, which may include physical assets like machinery or property, as well as intangible assets such as patents. Products generally refer to tangible items produced for sale, and inventory represents the stock of those tangible goods held by a business at any given time. Thus, services specifically align with the definition of intangible items as they are inherently non-physical and do not have a tangible form.