As26

Integral part of computer

CA Suraj Lakhotia

Admin

16-Feb-24 23:44

Software is an intangible asset of max life 5yrs Other intangible asset max life 10yrs As per AS 26 Hence why is it here considered tangible

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

16-Feb-24 23:55

Despite of being intangible asset, if such asset asset are considered as intergral part of an (main) asset then is such case, such intangible asset is to be considered as tangible in nature

036 137

CA Inter

★ 4K+

17-Feb-24 08:18

The reason is, without such intangible asset(software) the tangible asset(computer) cannot function, cannot able to generate benefit to the enterprise, Both are interconnected to each and without any cannot generate benefit, hence such asset is considered as an tangible asset.

036 137

CA Inter

★ 4K+

17-Feb-24 08:26

Separabality don’t matter Identifiablity matter But I guess the answer would be to recognise an asset cost should be measured reliably, which for software we can’t Hence can’t recognise as intangible in b/s

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

17-Feb-24 09:23

Thank you..

Thread Starter

Sushmita Chowdhury

CA Inter

★ 2K+

17-Feb-24 09:24