BÀI GIẢNG kế TOÁN QUỐC tế chapter 10 intangible non current assets

Chapter 10
INTANGIBLE NON-CURRENT
ASSETS


Learning Objectives
1. Intangible non-current assets
2. Deferred development costs

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Intangible non-current assets
• Non-current assets which have a value to
the entity but no physical substance.
• Examples:
– Goodwill (see Chapter 19 on partnerships)
– Leases
– Patents and trade names
– Research and development costs

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Deferred development costs
IAS 38 Intangible assets
• Pure or basic research
• Applied research
• Development expenditure can sometimes be
capitalised under special circumstances. All five
criteria stated under IAS 38 must be fulfilled.

All costs written off as incurred
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Deferred development costs
Five criteria stated under IAS 38
Intangible assets
•Technical feasibility of completing the asset
•Intention to complete the asset
•Ability to use or sell the asset
•Generate probable future economic benefits
•Ability to measure the attributable expenditure

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Deferred development costs
Capitalised development costs must be amortised
systematically once commercial production begins.
Each project must be reviewed annually to ensure
deferral is still appropriate.
•Amortisation: An intangible asset with an
indefinite useful life is not amortised but should be
reviewed each year for impairment.
•Impairment: Development costs should be written
down where they are no longer likely to be
recovered from future economic benefits.
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Deferred development costs
Disclosure
• Method of amortisation used
• Useful life of the assets or amortisation rate used
• Gross carrying value, accumulated depreciation
and accumulated impairment losses at beginning
and end of period
• Movements during the period
• Carrying amount of internally-generated intangible
assets
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