Which statement is correct regarding the treatment of research costs in accordance with IAS 38 intangible assets? Select one alternative: Research costs may be deferred if costs can be measured reliably. Research costs may not be deferred unless it is almost certain that the project they are applied to will bring future economic benefits and costs can be measured reliably. Research costs may not be recorded as an intangible asset and thus the cost is expensed in the period it is incurred. Research costs can be deferred (recorded as an asset) when it is probable that the project they are applied to will bring future economic benefits.
Which statement is correct regarding the treatment of research costs in accordance with IAS 38 intangible assets? Select one alternative: Research costs may be deferred if costs can be measured reliably. Research costs may not be deferred unless it is almost certain that the project they are applied to will bring future economic benefits and costs can be measured reliably. Research costs may not be recorded as an intangible asset and thus the cost is expensed in the period it is incurred. Research costs can be deferred (recorded as an asset) when it is probable that the project they are applied to will bring future economic benefits.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Which statement is correct regarding the treatment of research costs in accordance with IAS 38 intangible assets?
Select one alternative:
- Research costs may be deferred if costs can be measured reliably.
- Research costs may not be deferred unless it is almost certain that the project they are applied to will bring future economic benefits and costs can be measured reliably.
- Research costs may not be recorded as an intangible asset and thus the cost is expensed in the period it is incurred.
- Research costs can be deferred (recorded as an asset) when it is probable that the project they are applied to will bring future economic benefits.
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