Intangible Assets Flashcards
1
Q
Can an intangible asset be held under the cost model or the revaluation model?
A
Both!
2
Q
If an intangible asset has a finite useful life, is this amortised?
A
Yes
3
Q
If an intangible asset has an indefinite useful life, is this amortised?
A
No, it should be tested for impairment annually
4
Q
Can goodwill be recognised as an intangible asset if it is internally generated?
A
No
5
Q
How is research expenditure recognised?
A
Write off to the profit and loss
6
Q
What must an asset do to be recognised as a development intangible asset?
A
There be a probable flow of economic benefit, intention to complete the intangible asset
7
Q
When must a development asset start being amortised?
A
As soon as commercial production begins
