Company B has acquired a trademarkrelating to the introduction of a newmanufacturing process. The costsincurred were as follows: 1. Cost oftrademark, 150,000 2. Expenditureon promoting the new product,5,000 3. Employee benefits relatingto the testing of the properfunctioning of the new process,25,000 According to IAS 38 -'Intangible assets', what is the totalcost that can be capitalised as anintangible fixed asset in respect of thenew process? A. 150,000 B. 155,000 C. 175,000 D. 180,000

Intangible assets: Intangible assets are those which does not have any physical existence but have…

Answered: Company B has acquired a t relating to…

Company B has acquired a t relating to the introduction c manufacturing process. The incurred were as follows: 1. trademark, 150,000 2. Expe on promoting the new prod

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A-7