Which intangibles can be revalued in Australia based on AASB 138?
External acquired goodwill
External acquired identifiable intangible
Both 1 and 2
Neither 1 nor 2
For which identifiable assets can an active market exist?
Taxi licences
Brands
Publishing rights
Patents
The new accounting standard on intangible assets requires numerous disclosures for each class of intangible assets. Which of the following is not one of the required disclosures?
Whether the useful lives are indefinite or finite
The amortisation methods used for intangible assets with finite useful lives
The gross carrying amount and any accumulated amortisation (aggregated with accumulated impairment losses) at the beginning and end of the period
The amount expended on intangible identifiable assets that cannot be deferred as an asset
The new accounting standard on intangible assets requires certain disclosures in the financial statements. Which of the following is one of those disclosures?
Reasons supporting the assessment of finite asset lives
A description, the carrying amount and the remaining amortisation period of individual intangible assets
The existence and carrying amounts of intangible assets whose title is restricted
The amount of contractual commitments for the disposal of intangible assets
AASB 138 requires that expenditure on development may be deferred (capitalised) and recognised as an asset only if certain conditions are met. Which of the following is not one of the listed conditions?
Its intention to complete the intangible asset, and use or sell it
Its ability to use or sell the intangible asset
The ability to accurately measure expenditure on the intangible asset during its development
The technical feasibility of completing the intangible asset so that it will be available for use or sale
Which of the following items of expenditure would be examples of development activities under AASB 138, Paragraph 59?
The design, construction and testing of pre-production prototypes
The design of moulds involving new technology
The operation of a pilot plant that is not of a scale economically feasible for commercial production
the search for alternatives for materials, devices, products, processes, systems or services
What is the test for recognising of development expenditure provided in AASB 138, when testing the qualifying criteria in paragraph 57?
Expected beyond reasonable doubt
Simple probability
Virtually certain
None of the above
The accounting standard provides details of a number of factors that need to be considered in determining the useful life of an intangible asset. Which of the following is not one of those factors?
Private information on estimates of useful lives of similar types of assets that are used in a similar way
Typical product life cycles for the asset
The stability of the industry in which the asset operates
The level of maintenance expenditure required to obtain the expected future economic benefits from the asset.
In relation to amortisation, the carrying amount of intangible assets with an infinite life must not exceed which of the following?
Fair value
Recoverable amount
Net realisable value
Net present value
How is goodwill measured?
The excess of the cost of acquisition over the fair value of the identifiable net assets acquired
The difference between the net present value of the assets and their book value
The excess of the market value of the assets over the market value of the liabilities
All of the above
What is the purchased goodwill figure based on the following data? Consideration. Cash: $120 000 Land: $140 000 book value; $160 000 fair value Legal fees: $ 10 000
Acquisition: Assets $190 000 book value; $250 000 fair value Liabilities $ 40 000
$60 000
$80 000
$40 000
$30 000
