Summary
Summary IAS 38 Intangible Assets
- Course
- Institution
- Book
This document contains a short, efficient summary of IAS38 as well as class examples dealt with in lectures.
[Show more]
Connected book
Book Title:
Author(s):
- Edition:
- ISBN:
- Edition:
More summaries for
-
IFRS 15 Revenue from contracts with customers
-
IAS 19 Employee Benefits
-
IAS 23 Borrowing costs
Seller
Follow
mandylee14
Reviews received
Content preview
IAS 38 Intangible AssetsDEFINITION: Defnition
An identifiable non-monetary Asset without physical substance.
Identifiable if:
1. can be separated from business
2. arises from contractual/ other legal rights
Physical substance:
- can be in physical substance form such as a physical disc, legal
documentation, film.
RECOGNITION:
Par (18):
- meet definition
- meet criteria
o probably that expected future economic benefits will flow
o COST can measured reliably
INITIAL MEASUREMENT:
Measured initially @ COST Business
combination
(not in scope)
Government
Separate: grant (not in
scope)
Purchase @
cost
Acquisition
methods
Exchange rules =
IAS 16 and 40
Internally
generated IAS Internally generated
goodwill: shall NOT
be recognized as A (if
own goodwill)
, Separate Acquisition:
Cost comprises of:
a) purchase price + import duties – trade discounts – rebates
b) costs directly attributable to preparing the asset for its intended use.
Examples of costs:
a. costs of employee benefits (IAS19) arising from bringing A to
working condition,
b. professional fees arising from bringing A to working condition
c. cost of testing is A is functioning properly.
Examples of not costs
a. Advertisements and promotions
b. staff training and conducting business in new location
c. admin and overhead costs
Internally Generated Intangible Assets:
Note: if entity cannot distinguish between research and development phase,
default to research only.
Research Planning Not an Expensed
Activities that help obtain new I.A
knowledge
Searching for new findings
Development Design, construction and testing I.A Capitalized to
of: cost of I.A
- pre-use prototypes
- tools, moulds involving new
tech
- pilot plant
Additional Requirement to be met par(57): PIRATE
1. Technically feasibility of completing to sell.
2. Intention to complete it.
3. ability to use or sell A.
4. demonstrate how it will generate future economic benefits.
5. adequate resources available.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller mandylee14. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $2.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
77254 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now