Question 4 [10 Marks]

Qasio Private Limited (Pvt) developed a new intangible product. In developing this intangible asset, it incurred the following costs: Research R50 000, Development Costs R150 000, Marketing costs R 25 000. The Research costs were incurred between July 2020 and October 2020. The Development costs were incurred between November 2020 and December 2020. The useful life of the product arising from this project is expected to be five years, the Intangible asset was brought into use effective 1 January 2021.

Additional information Qasio has a 31 December year end

Required Prepare ALL the journal entries as at 31 December 2020 and 31 December 2021.