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An entity is developing a new computer software. During year x4, the expenditure incurred was RM120,000 of which RM100,000 was incurred before 1 October x4 and the balance was incurred from October to December x4 Only on 1 October was the entity able to demonstrate that the project can meet all criteria for the recognition as an intangible asset In the year x5, the cost incurred was RM60,000. At the end of x5, the recoverable amount was RM75,000
Question 1: Discuss the accounting treatment
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