During the year ended 30 June 20X3, Emily Ltd spent GHS 300,000 on the development of a new range of garden machinery. In order to carry out this work, Emily Ltd purchased some highly specialized equipment, on 1 July 20X2 at a cost of GHS 100,000. The equipment is expected to have a useful life of five years and is to be depreciated over that period by the straight-line method. According to IAS 38 Intangible Assets, what is the maximum amount that Emily Ltd can carry forward as development expenditure as at 30 June 20X3? A. GHS 100,000 B. GHS 300,000 C. GHS 320,000 D. GHS 400,000

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