Page 17 - Ebook Financial Accounting 3

Intangible assets are presented in the statement of financial position pursuant to MFRS

101 as follows:

Statement of Financial Position as at 31 December 20XX

RM RM
ASSETS

Non-Current Assets

Intangible Assets
Patent XXX

Trademark XXX

Copyright XXX XXX

EXERCISE

Question 1.1

Abrah Enterprise recorded the following transactions as intangible assets on January 1, 2020

Intangible Assets Description

1 Patent A An active market does not exist. Currently, Patent B
in the market is priced at RM55,000. Patent B is

similar to Patent A.

2 Patent D The exchange of an existing Patent F for a new
patent, i.e. Patent D. due to the uniqueness of this

patent, the fair value of both patents cannot be
measured with certainty. However, the value of

Patent F at the date of exchange was RM67,000.

3 Franchise Q Obtained at a purchase price of RM350,000. The
legal and professional fees involved are RM15,000.

Required:

Calculate the cost of the above intangible assets on 1 January 2020.

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