Should we really need to amortize Trade Mark ? what is the latest accounting guidelines?
1 Comment(s)
Unlike patents, a trademark is an indefinite-life intangible and therefore should not be amortised. An impairment test is performed annually.
Patents are amortized over the useful life or legal life, whichever is the shorter.
Dr Patent amortization expense xxx
Cr Accumulated amortization – patents xxx
Unlike patents, a trademark is an indefinite-life intangible and therefore should not be amortised. An impairment test is performed annually.
Patents are amortized over the useful life or legal life, whichever is the shorter.
Dr Patent amortization expense xxx
Cr Accumulated amortization – patents xxx
Sandy | Oct 9, 2009 | Reply