imported>Doug Williamson |
imported>Doug Williamson |
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| International Accounting Standard 38, dealing with intangible assets.
| | The Institute of Chartered Accountants in England and Wales. |
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| Issued by the International Accounting Standards Board.
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| IAS 38 requires an entity to recognise an intangible asset, whether purchased or self-created (at cost) if, and only if:
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| *It is probable that the future economic benefits that are attributable to the asset will flow to the entity; and
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| *The cost of the asset can be measured reliably.
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| The criteria for recognising internal development costs as assets under IAS 38 include all of:
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| #The technical '''feasibility''' of completing the intangible asset (so that it will be available for use or sale); and
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| #'''Intention''' to complete and use or sell the asset; and
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| #'''Ability''' to use or sell the asset; and
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| #Existence of a '''market''' or, if to be used internally, the '''usefulness''' of the asset; and
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| #Availability of '''adequate''' technical, financial, and other '''resources''' to complete the asset.
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| If any of these criteria is '''not''' met, then the expenditure is a cost, and not an asset.
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| == See also == | | == See also == |
| * [[Capitalise]] | | * [[ACA]] |
| * [[Development]] | | * [[ACCA]] |
| * [[Expense]] | | * [[Chartered Accountant]] |
| * [[FRS 102]] | | * [[Chartered Accountants Ireland]] |
| * [[IAS 16]] | | * [[CIMA]] |
| * [[Intangible assets]] | | * [[CIPFA]] |
| * [[International Financial Reporting Standards]] | | * [[FCA]] |
| * [[Recognition]] | | * [[ICAS]] |
| * [[Research & development]] | | * [[IESBA]] |
| | | * [[IFAC]] |
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| == External link ==
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| *[https://www.iasplus.com/en/standards/ias/ias38 IAS 38 - IAS Plus] | |
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| [[Category:Accounting,_tax_and_regulation]]
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| [[Category:Compliance_and_audit]] | | [[Category:Compliance_and_audit]] |
| | [[Category:Ethics]] |
