The Hitech Services Inc employed researchers from different countries. Based on the service contract with the clients, the billings are caiculated using the actual hours spent by researchers. Due to dispersed geographic locations of the researchers, collecting actual time spent by them poses difficulties. To overcome these difficulties, the management has decided to develop a web based time sheet software specifically designed for the needs of company. After a thorough internal assessment and preparations, company has signed an agreement with a software development company and the following has spent: Before, the software development company undertook the job, a team was assigned from Hitech Services for certain tasks in relation with the software development. The time spent for the tasks are followed and the cost were measured in TL as in the following list. Additional spending that may be in relation with the software were as follows: REQUIRED: How much needs to be capitalized as Intangible according to IAS 38? By distinguishing expensed and capitalized items of spending from each other, explain for each one the reason of your accounting treatment. The Hitech Services Inc employed researchers from different countries. Based on the service contract with the clients, the billings are caiculated using the actual hours spent by researchers. Due to dispersed geographic locations of the researchers, collecting actual time spent by them poses difficulties. To overcome these difficulties, the management has decided to develop a web based time sheet software specifically designed for the needs of company. After a thorough internal assessment and preparations, company has signed an agreement with a software development company and the following has spent: Before, the software development company undertook the job, a team was assigned from Hitech Services for certain tasks in relation with the software development. The time spent for the tasks are followed and the cost were measured in TL as in the following list. Additional spending that may be in relation with the software were as follows: REQUIRED: How much needs to be capitalized as Intangible according to IAS 38? By distinguishing expensed and capitalized items of spending from each other, explain for each one the reason of your accounting treatment