How to capitalize my patents?, Accounting Basics

Assignment Help:

How can I capitalize my patents? My company has applying for a patent and I want to capitalize the research and development expenditures. I know it will cost some legal charges and the successful defense of a patent can be turned  capitalized, but can the actual costs of the patent be? If yes or no, please provide the FASB ruling if you have it or reference.


Related Discussions:- How to capitalize my patents?

Ledger, “Ledger is said to be the principal book entry and the transactions...

“Ledger is said to be the principal book entry and the transactions can even be directly entered into the ledger account.”

What do you mean by liabilities, Q. What do you mean by Liabilities? Li...

Q. What do you mean by Liabilities? Liabilities are the debts outstanding by a business. Usually a business should pay its debts by certain dates. A business acquires many of i

The magnitude of operating leverage for perkins corporation, The magnitude ...

The magnitude of operating leverage for Perkins Corporation is 3.4 when sales are $100,000, if sales increase to $110,000, profits would be expected to increase by what percent?

Using the break-even equations to solve for price, using the break-even equ...

using the break-even equations to solve for price and variable cost per unit andromeda company's break-even point is 2,400 units. variable cost per unit is $42; total costs are 6

Comparability in accounting information, Q. Comparability in accounting inf...

Q. Comparability in accounting information? When comparability exists reported similarities and differences in financial information are real and not the result of differing ac

Proprietorship , After adjustments and the closing of revenue and expense a...

After adjustments and the closing of revenue and expense accounts at February 28, 2015, the end of the first full year of operations, the income summary account has a credit balanc

Concept of accountability, Problem It is usually recognized that power ...

Problem It is usually recognized that power is an essential component of accountability and that greater accountability is recognized towards those stakeholders who have more p

Adjustments for accrued items, Q. Adjustments for accrued items? Accrue...

Q. Adjustments for accrued items? Accrued items need two types of adjusting entries asset/revenue adjustments and liability/expense adjustments. The first group asset/revenue a

FASB No. 142.

2/19/2014 2:41:11 AM

Internally development of  patents are  very difficult to capitalize as the patent must have certain define criteria to be met. Specifically, it must be likely that the expected future assistances that are attributed to the asset will be available to the entity and the cost or value of the asset can be calculated reliably. The legal and filing costs are  associated with defending a patent are capitalized so the research and developmental costs for the product or process are treated as an incrureed expense.This is referenced in FASB No. 142.

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd