According to AASB 138 Intangible Assets,activities undertaken in the 'research' phase of the generation of an asset may include:
A)the application of knowledge to a design for the production of new materials.
B)original and planned investigation with the prospect of gaining new scientific knowledge.
C)the use of research findings to create a substantially improved product.
D)using knowledge to materially improve a manufacturing device.

Question

Quizplus · Accepted Answer

According to AASB 138, research includes original and planned investigation that aims to gain new scientific or technical knowledge and understanding.

Answer: A and D are incorrect because they refer to activities that would fall under the development phase of asset generation. Answer: C is incorrect because it refers to activities that would fall under the development or enhancement phase, rather than the research phase.

According to AASB 138 Intangible Assets,activities Undertaken in the 'Research