CERTYNEX IFRS ACADEMY

At 31 December 20X1, Lumen reviews its heat pump project: the prototype has passed its endurance tests and a market study documents strong demand. Which of the following facts, if observed at that date, prevent an intangible asset arising from development from being recognised?

No patent has yet been filed for the technology.

The financing needed to complete the project has not yet been obtained.

The management system cannot reliably track the project expenditure.

No heat pump has been sold yet.

Management has not yet decided to complete the project or to market the heat pump.

The expenditure incurred since the start of the project exceeds the initial budget.