How will the costs of an intangible asset being develop internally or self-constructed be reported?
A)As capital expenditure
B)As research and development expenses
C)As marketing expenses
D)As a liability

Question

Quizplus · Accepted Answer

The costs of an intangible asset being developed internally or self-constructed are typically considered research and development expenses and are expensed as incurred rather than capitalized as a capital expenditure. This is because there is often uncertainty as to whether the asset will have future economic benefits and therefore does not meet the criteria for capitalization.

How Will the Costs of an Intangible Asset Being Develop