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Business, 30.03.2020 17:00, edgar504xx
After years of research had been conducted at significant cost, Blanco Chemical Company determined a fertilizer they had been developing was possible to bring to production, intended to do so, and had the means by which to accomplish that. They then spent an additional $5,000,000 in development efforts to obtain a patent.
1.. According to IAS 38 (Intangible Assets), how should Blanco Chemical Company record the $5,000,000?
O as a "Deferred Development Cost" on the Balance Sheet.
O as "Fertilizer Revenue" on the Income Statement.
O as "Development Expense" on the Income Statement.
O It should only be reported in the notes to the financial statements.
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Answers: 3
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