Professional Documents
Culture Documents
CHAPTER
12
INTANGIBLE ASSETS
Intermediate Accounting
IFRS Edition
Kieso, Weygandt, and Warfield
12-2
Learning
Learning Objectives
Objectives
1.
2.
3.
4.
5.
6.
7.
8.
9.
Describe the accounting for research and development and similar costs.
10.
12-3
Intangible
Intangible Assets
Assets
Intangible
Asset Issues
Types of
Intangibles
Impairment of
Intangibles
Characteristics
Valuation
Marketingrelated
Customerrelated
Artisticrelated
Contractrelated
Technologyrelated
Goodwill
Limited-life
intangibles
Reversal of
impairment loss
Indefinite-life
intangibles other
than goodwill
Goodwill
Amortization
12-4
Research and
Development
Costs
Identifying
R&D
Accounting for
R&D
Similar costs
Conceptual
questions
Presentation of
Intangibles and
Related Items
Intangible
assets
R&D costs
Intangible
Intangible Asset
Asset Issues
Issues
Characteristics
Three Main Characteristics:
(1)
Bisa diidentifikasi
(2)
(3)
12-5
Intangible
Intangible Asset
Asset Issues
Issues
Valuation
Purchased Intangibles:
12-6
Purchase price.
Legal fees.
Intangible
Intangible Asset
Asset Issues
Issues
Valuation
Internally Created Intangibles:
12-7
Intangible
Intangible Asset
Asset Issues
Issues
Internally Created Intangibles
12-8
Illustration 12-1
Research and
Development Stages
Intangible
Intangible Asset
Asset Issues
Issues
Amortization of Intangibles
Limited-Life Intangibles:
12-9
Useful life should reflect the periods over which the asset
will contribute to cash flows.
Intangible
Intangible Asset
Asset Issues
Issues
Amortization of Intangibles
Indefinite-Life Intangibles:
12-10
No amortization.
Intangible
Intangible Asset
Asset Issues
Issues
Amortization of Intangibles
12-11
Illustration 12-2
Accounting Treatment
for Intangibles
Types
Types of
of Intangibles
Intangibles
Six Major Categories:
12-12
(1)
Marketing-related.
(4)
Contract-related.
(2)
Customer-related.
(5)
Technology-related.
(3)
Artistic-related.
(6)
Goodwill.
Types
Types of
of Intangibles
Intangibles
Marketing-Related Intangible Assets
Examples:
12-13
No amortization.
LO 4 Describe the types of intangible assets.
Types
Types of
of Intangibles
Intangibles
Customer-Related Intangible Assets
Examples:
12-14
Types
Types of
of Intangibles
Intangibles
Illustration: Green Market Inc. acquires the customer list of a
large newspaper for 6,000,000 on January 1, 2011. Green
Market expects to benefit from the information evenly over a
three-year period. Record the purchase of the customer list and
the amortization of the customer list at the end of each year.
Jan. 1
Customer List
6,000,000
Cash
Dec. 31
2010
2011
2012
12-15
Amortization expense
Customer list
6,000,000
2,000,000
2,000,000
Types
Types of
of Intangibles
Intangibles
Artistic-Related Intangible Assets
Examples:
and
12-16
Mickey
Mouse
LO 4
Types
Types of
of Intangibles
Intangibles
Contract-Related Intangible Assets
Examples:
12-17
LO 4
Types
Types of
of Intangibles
Intangibles
Technology-Related Intangible Assets
Examples:
12-18
Types
Types of
of Intangibles
Intangibles
Illustration: Harcott Co. incurs $180,000 in legal costs on
January 1, 2011, to successfully defend a patent. The patents
useful life is 20 years, amortized on a straight-line basis. Harcott
records the legal fees and the amortization at the end of 2011 as
follows.
Jan. 1
Patent
180,000
Cash
Dec. 31
12-19
180,000
9,000
9,000
LO 4 Describe the types of intangible assets.
Types
Types of
of Intangibles
Intangibles
Goodwill
12-20
Recording
Recording Goodwill
Goodwill
Illustration: Multi-Diversified, Inc. memutuskan bahwa mereka
memerlukan divisi komponen untuk melengkapi distributor traktor.
Presiden direktur Multi-Diversified tertarik untuk membeli
perusahaan kecil di Chicago (Tractorling Company). Neraca
Tractorling Company disajikan dalam ilustrasi 12-4 :
Illustration 12-4
12-21
Recording
Recording Goodwill
Goodwill
Illustration: Multi-Diversified investigates Tractorlings underlying
assets to determine their fair values.
Illustration 12-5
Tractorling Company memutuskan untuk menerima tawaran MultiDiversified sebesar $400,000. Berapa nilai goodwill, jika memang
ada?
12-22
Recording
Recording Goodwill
Goodwill
Illustration: Determination of Goodwill.
Illustration 12-6
Karena nilai pasar wajar aktiva bersih sekarang ditentukan sebesar $350,000 maka mengapa
Multi Diversified membayar sebesar $400,000? : Penjual memiliki reputasi yang baik, peringkat kredit
yang baik,tim manajemen puncak, karyawan yang terlatih dengan baik, dan lainnya.
12-23
Recording
Recording Goodwill
Goodwill
Illustration: Multi-Diversified records this transaction as
follows.
Property, Plant, and Equipment
Patents
Inventories
Receivables
Cash
Goodwill
Liabilities
Cash
12-24
205,000
18,000
122,000
35,000
25,000
50,000
55,000
400,000
Goodwill
Goodwill
Goodwill Write-off
Bargain Purchase
12-25
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Impairment of Limited-Life Intangibles
Same as impairment for long-lived assets in Chapter 11.
Illustration 11-15
12-26
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Illustration: Lerch, Inc. memiliki paten mengenai bagaimana
mengekstraksi minyak dari serpihan batu , dengan carrying value
of $5,000,000 pada akhir tahun 2010. Sayangnya harga minyak
yang menurun telah membuat teknologi serpihan minyak ini
menjadi tidak menguntungkan. Lerch menentukan recoverable
amount for the patent, berdasarkan value-in-use (because there is
no active market for the patent). Lerch estimates the patents
value-in-use at $2,000,000, (based on the discounted expected net
future cash flows at its market rate of interest).
12-27
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Calculate the impairment loss (based on value-in-use).
$3,000,000 Impairment Loss
Illustration 11-15
$5,000,000
$2,000,000
Unknown
12-28
$2,000,000
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Calculate the impairment loss (based on value-in-use).
$3,000,000 Impairment Loss
Illustration 11-15
$5,000,000
$2,000,000
3,000,000
Unknown
3,000,000
$2,000,000
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Impairment of Indefinite-Life Intangibles Other
than Goodwill
12-30
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Illustration: Arcon Radio purchased a broadcast license for
$2,000,000. The license is renewable every 10 years. Arcon Radio
has renewed the license with the GCC twice, at a minimal cost.
Because it expects cash flows to last indefinitely, Arcon reports the
license as an indefinite-life intangible asset. Recently, the GCC
decided to auction these licenses to the highest bidder instead of
renewing them. Based on recent auctions of similar licenses, Arcon
Radio estimates the fair value less costs to sell (the recoverable
amount) of its license to be $1,500,000.
Illustration 12-9
12-31
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Impairment of Goodwill
12-32
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Illustration: Kohlbuy Corporation has three divisions. It purchased
one division, Pritt Products, four years ago for $2 million.
Unfortunately, Pritt experienced operating losses over the last three
quarters. Kohlbuy management is now reviewing the division (the
cash-generating unit), for purposes of its annual impairment
testing. Pritt Divisions net assets, including the associated goodwill
of $900,000 from the purchase:
Illustration 12-10
12-33
LO 7
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Kohlbuy determines the recoverable amount for the Pritt Division to
be $2,800,000, based on a value-in-use estimate.
Illustration 11-15
$2,400,000
$2,800,000
No
Impairment
Unknown
12-34
$2,800,000
LO 7
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Assume that the recoverable amount for the Pritt Division is
$1,900,000, instead of $2,800,000.
$500,000 Impairment Loss
Illustration 11-15
$2,400,000
$1,900,000
Unknown
12-35
$1,900,000
LO 7
Impairment
Impairment of
of Intangible
Intangible Assets
Assets
Assume that the recoverable amount for the Pritt Division is
$1,900,000, instead of $2,800,000.
$500,000 Impairment Loss
Illustration 11-15
$2,400,000
$1,900,000
Loss on Impairment
500,000
Goodwill
500,000
Unknown
12-36
$1,900,000
LO 7
Research
Research and
and Development
Development Costs
Costs
Research and development (R&D) costs bukan
merupakan aktiva tidak berwujud.
Perusahaan mengeluarkan dana untuk penelitian dan
pengembangan guna menciptakan produk atau proses baru,
memperbaiki produk yang ada, dan menemuka pengetahuan
yang baru di masa depan.
12-37
new product,
formula,
process,
composition, or
idea,
literary work.
Research
Research and
and Development
Development Costs
Costs
Companies spend considerable sums on research and
development.
Illustration 12-12
12-38
Research
Research and
and Development
Development Costs
Costs
12-39
Research
Research and
and Development
Development Costs
Costs
Identifying R & D Activities
Illustration 12-13
Research
Research Activities
Activities
Pencarian
Pencarian yang
yang direncanakan
direncanakan atau
atau
investigasi
kritis
yang
ditujukan
investigasi kritis yang ditujukan untuk
untuk
menemukan
menemukan pengetahuan
pengetahuan baru.
baru.
Development
Development Activities
Activities
Penjabaran
Penjabaran
penemuan
penemuan penelitian
penelitian ke
ke
dalam
dalam suatu
suatu rencana
rencana atau
atau rancangan
rancangan
untuk
produk
dan
proses
baru.
untuk produk dan proses baru.
Perbaikan
Perbaikan yang
yang signifikan
signifikan terhadap
terhadap
produk
produk atau
atau proses
proses yang
yang ada
ada
12-40
Examples
Examples
Laboratory
Laboratory research
research aimed
aimed at
at discovery
discovery of
of
new
new knowledge;
knowledge; searching
searching for
for applications
applications of
of
new
research
findings.
new research findings.
Examples
Examples
Conceptual
Conceptual formulation
formulation and
and design
design of
of
possible
possible product
product or
or process
process alternatives;
alternatives;
construction
of
prototypes
and
construction of prototypes and
operation
operation of
of pilot
pilot plants.
plants.
Research
Research and
and Development
Development Costs
Costs
Accounting for R & D Activities
Costs Associated with R&D Activities:
12-41
Personnel
Purchased Intangibles
Contract Services
Indirect Costs
LO 9 Describe the accounting for research and development and similar costs.
Research
Research and
and Development
Development Costs
Costs
E12-1: Indicate how items on the list below would generally be
reported in the financial statements.
Item
Item
12-42
Classification
Classification
R&D expense
LO 9
Research
Research and
and Development
Development Costs
Costs
E12-17: Compute the amount to be reported as research and
development expense.
$330,000 / 5 = $66,000
Cost of equipment acquired that will have alternative uses in
future R&D projects over the next 5 years.
R&D
Expense
$330,000
$66,000
59,000
59,000
100,000
100,000
128,000
128,000
50,000
50,000
34,000
$403,000
12-43
Copyright
Copyright
Copyright 2011 John Wiley & Sons, Inc. All rights reserved.
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programs or from the use of the information contained herein.
12-44