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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Meaning of capitalised
Dear professor,
I have a doubt, I am not sure what it means by “capitalised” – like capitalised Intangible Assets, we must have inflow of economic benefit, ittention to complete the assets and to use it or sell it, expected to be profitable.
Am I also correct that Itanglible Asset generated by business can not be capitalised (goodwill and brands)
Thank you!
If something is capitalised then it means that it is treated as being a non-current asset.
Intangible assets can be capitalised if they were purchased (e.g. purchased goodwill), but not if internally generated.
This is explained in my free lectures on intangible assets.
