中外比较会计c8.ppt

Intangible assets（P333-337/211-215） Operating expenses versus Intangible Assets Intangible Assets: reasonable evidence of future benefits Expenditures for advertising campaigns? training employees? The duration of the benefit is uncertain. expensed When the cost is insignificant—revenue expenditure significant—intangible assets Types of Intangible assets Patents Copyright Trademarks and trade names (brand names) Franchise/License Research and development costs (RD) Goodwill GE Page 49 Coco-cola Page 31 Patents(P333/211) (know-how) Dr. patens Cr. Cash and cash equivalents Amortization: ≤17 years Dr: Amortization expense- Patents Cr: Patents depreciation of plant and equipment（折旧） depletion of natural resources（折耗） amortization of intangible assets(摊销） Copyright (P334/212) For literary or artistic materials for the life of the creator plus 50 years Trademarks and trade names (brand names P334/212) The cost of developing a trademark or brand name often consist of advertising campaigns, which should be treated as expense when incurred. If a trademark or brand name is purchased, however, the cost may be substantial. Such cost should be capitalized and amortized to expense over a period of not more than 40 years. If the use of the trademark is discontinued or its contribution to earning becomes doubtful, any unamortized cost should be written off immediately. Franchises/Licenses 334/212 Goodwill (P334/212) acquisition price goodwill market value of net assets (greater-than-normal level of profitability) book value of net assets Example (P334/212)  Wal