The studio Lumaq transfers the rights to a mobile game, carried at 210,000 and amortised by 70,000, to a publisher which gives it in return a licence to use a graphics engine. No additional payment is made. The transaction has commercial substance and the fair value of the two assets, reliably measured, is 95,000. At what amount does Lumaq recognise the licence received?
- Cost of the game rights given up
- 210,000
- Accumulated amortisation of the rights given up
- 70,000
- Fair value of the assets exchanged
- 95,000