CAF-1 · Chapter 6 · Question 12 of 15
Which of the following costs should be included in the initial cost of a separately acquired intangible asset?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Non-refundable purchase taxes and import duties.
Explanation
The cost of a separately acquired intangible asset includes its purchase price, import duties, and non-refundable purchase taxes, after deducting trade discounts.
More IAS 38 Intangible Assets MCQs
- Q14When does the amortisation of an intangible asset with a finite useful life commence?
- Q15Which of the following disclosures is NOT mandatory for intangible assets under IAS 38?
- Q1Which of the following best describes the defining characteristics of an intangible asset under IAS 38?
- Q2Which of the following items is explicitly EXCLUDED from the scope of IAS 38 Intangible Assets?
- Q3Omega Corp spent Rs. 800,000 during the year to evaluate possible alternative materials for a new product line. Under IAS 38, how should…