IAS 38

Question 1

Definition of intangible asset

Answer 1

Identifiable non-monetary asset w/out physical substance

Question 2

Initial recog of an IA are…

Answer 2

• separately identifiable
  -control the IA
  -feb inflow

Question 3

IM and SM of an IA under a contract agreement?

Answer 3

capitalised as a separate asset under ‘Intangible asset’
-amrtz over useful life (definite life) - contractual
-impairment test - when there is evid

Question 4

How to account of IA purchased under biz combi?

Answer 4

Legal - internally generated IA (do not have FV) - not recog (IAS 38)

IFRS 3 will override IAS 38, where IA is measured using FV according to IFRS 13 (level 2/3);

separate from GW (FV can be measured reliably) - ‘other intangible asset’; if not subsumed under GW

Question 5

When to derecog IA?

Answer 5

-disposal
-no feb expected from the disposal or use