On acquiring Brie SA, a reacquired right (a technology licence that the acquirer had granted to Brie) is recognised as an intangible asset for 480,000. It is amortised over the remaining contractual term of the contract, 4 years, i.e. an annual charge of 120,000. Case convention: straight-line amortisation; under IFRS 3, probable renewals of the contract do not extend this term. Calculate the amortisation for the first 9 months after the acquisition date.
- Annual amortisation charge
- 120,000
- Number of months elapsed
- 9