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Examples of intangibles: o Goodwill o Patents o Brands / trademarks o Copyrights. These can only be capitalised on the statement of financial position if they have been purchased. This is because the cost can be reliably measured. Research and development Research – No expectation of future economic benefits Always written off to the statement of comprehensive income as incurred. Development – Can capitalise if meets six criteria and amortised once brought into production. 1. Technically feasible 2.

Examples include: ● Land ● Buildings ● Plant and machinery ● Motor vehicles ● Computer equipment ● Fixtures and fittings. ww w. stu d yi n t e ra cti v e . or g 49 CHAPTER 5 – NON-CURRENT ASSETS CAPITAL AND REVENUE EXPENDITURE Capital expenditure Capital expenditure is the costs of acquiring non-current assets. S. 16 the following costs may be capitalised in the statement of financial position on acquisition of a non-current asset: o Initial cost o Delivery costs o Non-refundable import taxes o Installation costs o Any costs incurred in bringing the asset into intended use.

Or g CHAPTER 4 – INVENTORY INTRODUCTION Inventory is the product we purchase and sell in the business. In a business it is unlikely that all of the inventory will be sold at the end of an accounting period, this inventory left over is known as closing inventory. Closing inventory is an asset and appears in the statement of financial position under the heading current assets. Statement of Financial Position (extract) as at 31 December 2009 Current Assets $000 Inventory 13,777 Closing inventory also comprehensive income.

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Advances in Natural Language Procg. [comp sci, AI] by J. Vicedo, et. al.,


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