value in use — OpenTuition Forums

Emili5y ago

i got confused. if we have to find value in use through cash flows. lets say if the asset has useful life 5 years but the given cash flows give amount from first to seven years for example. do i have to calculate the value in use up to 5 years only or include together year 6 and 7 ?? please help me :"))

Mmelody5y ago#1

Why specialised tooling for a new product developed by the business is eligible for capitalisation as intangible asset? Why the title heading, front and design of the front page of major broadsheet newspaper is not?

PP2-D2Tutor5y ago#2

melody627 wrote:i got confused.

Yes, you would only use the cash flows for the five years as per IAS 36.

PP2-D2Tutor5y ago#3

melody627 wrote:Why specialised tooling for a new product developed by the business is eligible for capitalisation as intangible asset? Why the title heading, front and design of the front page of major broadsheet newspaper is not?

Because you cannot measure the cost reliably for the title of the paper, in a similar way for a brand.

Emili5y ago#4

THANK YOU SIR :')