Accounting entry of company patent application fee:
1. If amortization is not required, directly record the management fee or intangible assets, otherwise record the amortization of intangible assets.
The entry is:
Borrow: intangible assets-patent fees
Loans: bank deposits
2. The intangible assets increased in the current month are amortized in the current month, and the intangible assets decreased in the current month are not amortized in the current month. The new accounting standards will make an entry when amortization of intangible assets costs every month:
Debit: management expenses-amortization of intangible assets
Loan: accumulated amortization
What subject does the enterprise patent belong to?
Patent right belongs to intangible assets accounting subjects.
Intangible assets refer to identifiable non-monetary assets owned or controlled by enterprises without physical form. Intangible assets can be divided into broad sense and narrow sense. Intangible assets in a broad sense include monetary funds, accounts receivable, financial assets, long-term equity investment, patent rights, trademark rights and so on. Because they have no physical entities, but they show some legal rights or technologies. But intangible assets are usually understood in a narrow sense in accounting, that is, patent rights and trademark rights are called intangible assets.
Intangible assets can only be recognized when the following conditions are met:
1. The economic benefits related to this intangible asset are likely to flow into the enterprise;
As an intangible asset, a project must have the conditions that the economic benefits of its production are likely to flow into the enterprise. Because the basic feature of assets is that the economic benefits generated are likely to flow into the enterprise, if the economic benefits generated by a project are not expected to flow into the enterprise, it cannot be recognized as the assets of the enterprise. In accounting practice, to determine whether the economic benefits created by intangible assets may flow into enterprises, it is necessary to make a reasonable estimate of various economic factors that may exist in the expected service life of intangible assets, and should be supported by clear evidence.
2. The cost of the intangible asset can be measured reliably.
Self-created goodwill and internally generated brands and newspaper names. It should not be recognized as intangible assets because its cost cannot be measured reliably.
How to deal with the accounting entries of amortization of enterprise patent expenses?