| Intangible assets are measured at cost less accumulated amortisation and any accumulated impairment losses. Development costs are recognised as an intangible asset when all of the following criteria are demonstrated:
• The technical feasibility of completing the software so that it will be available for use or sale.
• The intention to complete the software and use or sell it.
• The ability to use the software or to sell it.
• How the software will generate probable future economic benefits.
• The availability of adequate technical, financial and other resources to complete the development and to use or sell the software.
• The ability to measure reliably the expenditure attributable to the software during its development.
Amortisation is charged so as to allocate the cost of intangibles less their residual values over their estimated useful lives, using the straight-line method. The intangible assets are amortised over the following useful economic lives:
• Software development and website costs 3 years
If there is an indication that there has been a significant change in amortisation rate or residual value of an asset, the amortisation of that asset is revised prospectively to reflect the new expectations. |