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Artwright (Kaplan SBR exam kit – Question 36)

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Artwright (Kaplan SBR exam kit – Question 36)

  • This topic has 2 replies, 2 voices, and was last updated 5 years ago by P2-D2.
Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • May 19, 2019 at 8:11 pm #516471
    w01122
    Member
    • Topics: 12
    • Replies: 20
    • ☆

    Hi,

    In the question referenced, I don’t understand the treatment of intangible assets. IAS 38 says in order to recognise an intangible asset, then it must be probable that future economic benefits will be earned. However, the text says they “have not concluded that economic benefits are likely to flow from this compound”

    Given no economic benefits are confirmed, how can we call this an intangible asset?

    Thanks,

    May 19, 2019 at 8:36 pm #516473
    w01122
    Member
    • Topics: 12
    • Replies: 20
    • ☆

    could you also clarify why there is a $10m move on the derivative?

    May 21, 2019 at 8:58 pm #516781
    P2-D2
    Keymaster
    • Topics: 4
    • Replies: 7142
    • ☆☆☆☆☆

    Hi,

    Sorry, I’ve not got the Kaplan revision kit. Is this a past exam question? If so would you let me know which year it is from?

    Thanks

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