AASB 138/ IAS 38 - Australian Accounting Standards Board

Research Individual

EXECUTIVE SUMMARY
This report is mainly based upon Technology Enterprises Ltd. which is planning to
modify its design of charging batteries. AASB 138/ IAS 38 which are mainly related to treatment
of intangible assets are used to analyse nature of the design. It is vital for the company to fulfil
all the requirements of AASB in order to record new design in intangible assets.
Recommendation regarding complying with all the AASB standards is also provided to the
company so that it can mitigate its concerns regarding investor's interpretation of information
recorded in final accounts.

Table of Contents
EXECUTIVE SUMMARY.............................................................................................................2
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
The way in which project should be accounted in financial statement........................................1
TASK 2............................................................................................................................................3
To what extend might the rules or restrictions in AASB 138/IAS 38 reduce the comparability
of financial statements.................................................................................................................3
TASK 3............................................................................................................................................4
Response to the CEO and recommendation regarding concern about investor's interpretation. .4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7