Test your understanding 2 An entity has incurred the following expenditure during the current year (i) A brand name relating to a specific range of chocolate bars purchased for $200,000. By the year end, a brand specialist had valued this at $250,000. ) $500,000 spent on developing a new line of confectionary $150,000 was spent on researching the product, before management gave approval to fully fund the project. ii) Training costs for staff to use a new manufacturing process. The total training costs amounted to $100,000 and staff are expected to remain for an average of 5 years. Explain the accounting treatment for the above issues. Example 2-Amortisation of development expenditure o relating to