An intangible shall be recognised if,and only if:
A)it is possible that the expected future economic benefits that are attributable to the asset will flow to the entity and the cost of the asset can be measured reliably
B)it is possible that the expected future economic benefits that are attributable to the asset will flow to the entity and the cost of the asset cannot be measured reliably
C)it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the cost of the asset cannot be measured reliably
D)it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the cost of the asset can be measured reliably

Question

Quizplus · Accepted Answer

To recognise an intangible asset, it is necessary that the expected future economic benefits that are attributable to the asset will flow to the entity and the cost of the asset can be measured reliably. Moreover, it is probable that these future economic benefits will be received by the entity. Therefore, only option D meets both requirements.

An Intangible Shall Be Recognised If,and Only If