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Intangible assets:indefinite or finite useful life

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBR Exams › Intangible assets:indefinite or finite useful life

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by Stephen Widberg.
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  • November 20, 2020 at 9:38 am #595742
    amysnowy
    Participant
    • Topics: 72
    • Replies: 25
    • ☆☆

    Dear Tutor

    how do we define indefinite or finite life for intangible assets? by any criteria? by management adjustment?
    say brand name as an intangible asset, has the finite life because the brand can’t last forever, are most of intangible assets have finite life, any example for indefinite life please?

    Many thanks

    November 20, 2020 at 1:13 pm #595765
    Stephen Widberg
    Keymaster
    • Topics: 16
    • Replies: 3442
    • ☆☆☆☆☆

    Licence – easy – finite life as per licence agreement

    Brand – hard – Coca Cola = indefinite; Boris Johnson aftershave = more likely to be 4 years. Judgement call.

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