Organization costs Purchased trademarks Development phase activities (meet all six development phase criteria) Deposits with advertising agency for ads to promote goodwill of company Excess of cost over fair value of identifiable net assets of acquired subsidiary Cost of equipment acquired for research and development projects; the equipment has an alternative future use Costs of researching a secret formula for a product that is expected to be marketed for at least 20 years Payment for a favourable lease; lease term of 10 years $34,700 18,500 31,500 7,700 81,100 125,300 75,900 14,900 =) Based on the information provided, calculate the total amount for Blossom to report as intangible assets on its statement of financial osition at December 31, 2023. Assume Blossom uses IFRS to prepare its financial statements.

Organization costs Purchased trademarks Development phase activities (meet all six development phase criteria) Deposits with advertising agency for ads to promote goodwill of company Excess of cost over fair value of identifiable net assets of acquired subsidiary Cost of equipment acquired for research and development projects; the equipment has an alternative future use Costs of researching a secret formula for a product that is expected to be marketed for at least 20 years Payment for a favourable lease; lease term of 10 years $34,700 18,500 31,500 7,700 81,100 125,300 75,900 14,900 =) Based on the information provided, calculate the total amount for Blossom to report as intangible assets on its statement of financial osition at December 31, 2023. Assume Blossom uses IFRS to prepare its financial statements.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter12: Intangibles

Section: Chapter Questions

Problem 4C

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Assume REH AG, a hypothetical company, incurs expenditures of AC1,000 per month during the fiscal year ended December 31, 2019 to develop software for internal use. Under IFRS, the company must treat the expenditures as an expense until the software meets the criteria for recognition as an intangible asset, after which time the expenditures can be capitalized as an intangible asset. 1 What is the accounting impact of the company being able to demonstrate that the software met the criteria for recognition as an intangible asset on February 1 versus December 1? 2 How would the treatment of expenditures differ if the company reported under US GAAP and it had established in 2018 that the project was likely to be completed and the software used to perform the function intended?
Current Attempt in Progress Tamarisk SpA has the following amounts reported in its general ledger at December 31, 2022. Organization costs Trademarks Bonds payable Deposits with advertising agency for ads to promote goodwill of company Excess of cost over fair value of net identifiable assets of acquired subsidiary Cost of equipment acquired for research and development projects; the equipment has an alternative future use Costs of developing a secret formula for a product that is expected to be marketed for at least 20 years (all research phase) €22,800 13,700 35,800 10,800 75,800 Total amount reported for intangible assets 85,800 80,600 (a) On the basis of this information, compute the total amount to be reported by Tamarisk for intangible assets on its statement of financial position at December 31, 2022. As noted, the equipment has alternative future use.
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