The Requirement of IAS 38 in Relation to the Amortisation

question 46

Multiple Choice

The requirement of IAS 38 in relation to the amortisation of development cost is that:

• A)It is to be amortised straight-line over a period not greater than 20 years.
• B)It is to be amortised from the time of deferral so as to match the cost to the related benefits.
• C)It is to be amortised using an accelerated depreciation rate over a period not exceeding 10 years.
• D)It is to be amortised from the time the asset is available for use and shall reflect the consumption of the economic benefits by the entity.