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Cases 1. NewDrugs, Inc., an international corporation, has identified a list of expenditures it believes to be intangible assets. Which items would

I don't know how to answer these questions. Please include explanation. I only know the basics on intangible assets.
Cases 1. NewDrugs, Inc., an international corporation, has identified a list of expenditures it believes to be intangible assets. Which items would be recognized as assets under US GAAP? Which items would be capitalized under IFRS? a. Research on potential pharmaceutical formulas b. Development of new pharmaceutical formulas, after feasibility and business plans have been established c. Legal fees to patent the newly developed formula d. Customer list purchased from a competitor e. Patent purchased from a competitor f. Legal fees to defend the purchased patent g. Goodwill included in the purchase of OldDrugs, Inc. h. Internally developed customer list Answer 1. Items capitalized under US GAAP: (list appropriate letters among a-h) Items capitalized under IFRS: (list appropriate letters among a-h) 1
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2. During 2007, a company began researching and developing a new product for market. By June 30, 2008, the company had determined the new product was technologically feasible and developed a business plan including identification of a ready market for the product, and a commitment of resources to ready the product for market. The company has tracked costs of the product as follows: Research and development, Jan-June 2008 €130,000 Research and development, July-Dec 2008 80,000 Training costs 15,000 Legal fees – patent 20,000 Mass production 120,000 Marketing launch 75,000 What amount will be included in intangible assets on the company’s December 31, 2008 financial statements prepared in accordance with IFRS? What amount will be reported as intangible assets under US GAAP? Answer 2. IFRS GAAP Research and development, Jan- June 2008 ? ? Research and development, July- Dec 2008 ? ? Training costs ? ? Legal fees - patent ? ? Mass production ? ? Marketing launch ? ? 2
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Cases
1. NewDrugs, Inc., an international corporation, has identified a list of expenditures it believes
to be intangible assets. Which items would be recognized as assets under US GAAP?
Which...

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