. The cost incurred were as follows: Cost of trademark, P5,000,000 Expenditure on promoting the new product, P200,000 Employee benefits relating to the testing of the proper functioning of the new process, P800,000 What is the total cost that should be capitalized as intangible assets?
. The cost incurred were as follows: Cost of trademark, P5,000,000 Expenditure on promoting the new product, P200,000 Employee benefits relating to the testing of the proper functioning of the new process, P800,000 What is the total cost that should be capitalized as intangible assets?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Kim Company, an SME, has acquired a trademark relating to the introduction of a new manufacturing process. The cost incurred were as follows:
Cost of trademark, P5,000,000
Expenditure on promoting the new product, P200,000
Employee benefits relating to the testing of the proper functioning of the new process, P800,000
What is the total cost that should be capitalized as intangible assets?
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