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Inventory and intangibles

Forums › ACCA Forums › ACCA FR Financial Reporting Forums › Inventory and intangibles

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by f6ali.
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  • April 6, 2020 at 1:47 pm #566649
    ellekurowa
    Member
    • Topics: 2
    • Replies: 0
    • ☆

    1) Should net realizable value of work in progress be considered?

    2) For internally generated intangibles, does development expenditure on making changes to fulfill changes required by regulatory authorities qualify for capitalization?

    Thank you

    April 6, 2020 at 2:58 pm #566659
    f6ali
    Member
    • Topics: 10
    • Replies: 341
    • ☆☆☆

    In future if you want to ask the tutor directly, kindly start a thread in Ask the Tutor Forum. This forum is for students to help each other.

    1) Yes. All types of inventories are always measured at lower of cost and net realisable value.

    2) Yes because that is a cost necessary to bring the asset into its working condition.

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