Accounting · IAS 38 Intangible Assets

In accordance with IAS 38 Intangible Assets, which of the following costs should be recognised as an asset in the statement of financial position of a company? 1. $2.5 million spent on investigating the chemical properties of a new compound. 2. $3 million paid to acquire a licence from the government to operate a telecommunications network for the next 10 years. 3. $850,000 spent on modifying accounting software that was internally developed two years ago.