How to keep accounts of intangible assets amortization finance in management department

Accounting entries for amortization of intangible assets in management department:

Debit: management expenses

Loan: cumulative amortization

Intangible assets refer to identifiable non-monetary assets that are owned or controlled by enterprises and have no physical form.

it mainly includes patent right, non-patented technology, trademark right, copyright, land use right and franchise, etc.

Basic principles of amortization of intangible assets:

Intangible assets with limited service life need to be amortized in a systematic and reasonable way within the estimated service life, while intangible assets with uncertain service life do not need to be amortized, but impairment test should be conducted at least at the end of each accounting period.

the amortization method of intangible assets should be able to reflect the expected realization of economic benefits related to the intangible assets. Including straight line method and total production method. If the expected realization mode cannot be reliably determined, it shall generally be amortized by the straight-line method.