Accounting Treatment of R&D Patent Technology
In the research stage, it should be included in the current profit and loss when it occurs, that is, expensed.
In the development stage, if the following conditions are met, it can be capitalized:
1) Technically, it is feasible to complete this intangible asset so that it can be used or sold.
2) There is an intention to complete the intangible assets and use or sell them.
3) The way in which intangible assets will generate future economic benefits, including proving that the products produced by using the intangible assets or the intangible assets themselves have the market ability. If intangible assets will be used internally, their usefulness should be proved.
Accounting entries related to R&D expenditure of patent intellectual property:
1. When a patent is formed, it is taken as the cost of this patent and added up with other expenses related to this patent.
Borrow: intangible assets -XX patent
Loan: bank deposit or cash on hand.
2, no patent, directly included in the management fee.
Borrow: management fee
Loan: bank deposit or cash on hand.
3. The patent fees applied by enterprises for research and development of scientific research projects can be finally carried forward to the management expense account.
Borrow: R&D expenditure
Loan: cash or bank deposit.
Debit: Management Expenses-R&D Expenditure
Loan: R&D expenditure
Valuation principles of intangible assets:
1. The intangible assets purchased shall be priced according to the actual price paid.
2. Intangible assets developed by enterprises themselves and applied for acquisition shall be valued according to the actual net expenses such as registration fees and attorney fees incurred at the time of acquisition.
3. Intangible assets invested by investors as capital or cooperation conditions shall be evaluated according to the evaluation or contract agreement and the amount applied by the enterprise.
4. The cost of intangible assets accepting donations shall be determined according to the market price of the assets or the value confirmed by relevant vouchers provided and the expenses incurred when accepting donations.
Incorrect pricing behaviors of intangible assets include: enterprises know that the price of intangible assets is too high or too low; If there is no legal procedure for evaluation or confirmation, it will be priced at will, and if there is no enterprise merger or accepting goodwill investment from other units, it will be priced and recorded.