Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the
company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity
recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently
measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is held in the
currency of the acquired entity and revalued to the closing rate at each reporting period date. Goodwill is
amortised over its useful life, which shall not exceed ten years if a reliable estimate of the useful life cannot be
made.
Amortisation:
Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over
their useful life as follows:
We charge amortisation @ 10% straight line basis.