Identifiability of an intangible asset
A separable asset can be separated or divided from the entity and sold, transferred, licensed, rented or exchanged, either individually or together with a related contract, asset or liability. An asset arising from contractual or legal rights can be identifiable even if those rights are not transferable or separable. Identifiability distinguishes an intangible asset from goodwill but does not by itself satisfy all IAS 38 recognition and measurement requirements.
Worked example
A company acquires a legally protected licence that cannot be transferred separately. Because it arises from legal rights, it may be identifiable; the company then assesses the applicable recognition and measurement requirements.
Common mistake
Assuming an intangible is identifiable only if it can be sold separately, or assuming identifiability alone requires recognition at fair value.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | FR | Direct | September 2026–June 2027 |
| ACCA | SBR | Direct | September 2026–June 2027 |