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Which of the Following Statements Is True Regarding the Treatment

Question 3

Multiple Choice

Which of the following statements is true regarding the treatment for research and development (R & D) expenditure as stipulated in IAS 38?


A) Research expenditure should be written off as it occurs
B) Development expenditure should be recognized as an internally generated intangible asset
C) Development expenditure can be carried forward on the balance sheet if certain criteria can be demonstrated (such as, the project is technically feasible and that when it is completed can be used or sold)
D) All of the above

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