What is intangible assets according to IAS 38?

What is intangible assets according to IAS 38?

IAS 38 sets out the criteria for recognising and measuring intangible assets and requires disclosures about them. An intangible asset is an identifiable non-monetary asset without physical substance. Such an asset is identifiable when it is separable, or when it arises from contractual or other legal rights.

How do you measure intangible assets as per ind as 38?

Recognition of an intangible asset under Ind AS 38 An intangible asset shall be recognised if it is probable that the asset’s expected future economic benefits will flow to the entity and the asset’s cost can be measured reliably.

What is the objective of Indian accounting Standard 38?

The primary objective of IAS 38 is to prescribe the accounting treatment for intangible assets that are not dealt with explicitly in another Standard. IAS 38 requires an entity to recognise an asset as intangible if, and only if, specified criteria are met.

Which of the following is an objective of Lkas 38 intangible assets?

1 The objective of this Standard is to prescribe the accounting treatment for intangible assets that are not dealt with specifically in another Standard. This Standard requires an entity to recognise an intangible asset if, and only if, specified criteria are met.

What is intangible assets PDF?

intangible assets are defined as identifiable non-monetary assets that cannot. be seen, touched, or physically measured, and are created through time and. effort, and are identifiable as a separate asset. 2. intangible asset is a non-physical asset having a useful life greater than one.

When a patent or trademark is acquired in a business combination What does IAS 38 say about recording these intangibles?

When a patent or trademark is acquired in a business combination, what does IAS 38 say about recording these intangibles? A. If they had not been previously recorded as separate assets by the acquired company, they should always be recorded as “Goodwill” on the balance sheet of the company acquiring them.

What are intangible assets under development?

Intangible asset is an non-physical non-monetary asset which is held for use in the production or supply of goods and services, or for rentals to others, etc. Intangible assets arising in insurance enterprise from contracts with policyholders, 4.

What is IAS 38 and why is it important?

IAS 38 sets out the criteria for recognising and measuring intangible assets and requires disclosures about them. An intangible asset is an identifiable non-monetary asset without physical substance. Such an asset is identifiable when it is separable, or when it arises from contractual or other legal rights.

What is an in­tan­gible asset under IAS 38?

The ob­ject­ive of IAS 38 is to pre­scribe the ac­count­ing treat­ment for in­tan­gible assets that are not dealt with spe­cific­ally in another IFRS. The Stand­ard re­quires an entity to re­cog­nise an in­tan­gible asset if, and only if, certain cri­teria are met.

Is internally generated goodwill an asset under IAS 38?

Internally generated goodwill is within the scope of IAS 38 but is not recognised as an asset because it is not an identifiable resource. Expenditure for an intangible item is recognised as an expense, unless the item meets the definition of an intangible asset, and: it is probable that there will be future economic benefits from the asset; and

How are intangible assets recognised and amortised?

Intangible assets meeting the relevant recognition criteria are initially measured at cost, subsequently measured at cost or using the revaluation model, and amortised on a systematic basis over their useful lives (unless the asset has an indefinite useful life, in which case it is not amortised).