This assignment will assess the following learning outcomes:

- Demonstrate the impact on the financial statements and the implication for different users of accounts of alternative ways of treating controversial accounting items

- Critically evaluate the usefulness of accounting standards and the process by which they are agreed.

- Analyse and critically evaluate key notions of corporate governance focusing on accounting theories and policy aspects of financial repotting.

Assignment

You are required to answer ALL the questions:

Q1 Ibrahim is a young entrepreneur, who stated his business 5 years ago, as a homemade ice cream shop. Ibrahim's shop rs otlenng high quality and a wide variety of ice-creams He developed an excellent reputation in Muscat and is about to open his 3rd shop in Qurum.

Ibrahim is asking for consultancy, he is seeking your advice and he wants to have an expert's opinion on the following facts.

1- Ibrahim considers his reputation as an asset he is asking about the way to value ft

2- Ibrahim is negotiating with the international ice cream brand 'Haagen Dais' to open the first shop in Muscat 'Haagen Daze Franchise will anted the following costs
- Franchising and legal cost of acquinng the right to use the brand 'Haagen Dais' 140,000 OMR
- Operational cost dunng start-up period- 54,000 OMR (instating 'Haagen Dazs' specific neon signs and displays).
- Massive advertising campaign to launch the brand: 25.000 OMR
Ibrahim is asking how to compute these costs in financial statements and why.

3- Ibrahim is developing new flavours from the Omani heritage by muong spices and fruits and he found the perfect combination He just got the patent, but he is explaining that he wasted lot of money and supplies to develop and test the new flavour 'Dates' Ibrahim has the records and invoices of the 3,500 OMR he spent on this new flavour until he got the patent He is happy now with the new flavour that was tested and appreciated by customers during the tnal in Muscat Festival 2016, because last year, he spent about 1,250 OMR on testing another flavour 'Cardamom' and it was not successful. In this regard, he is looking for your advice regarding the way these costs will appear in financial statements

- Write a report based on the knowledge you accumulated in the module where you

- Explain briefly to Ibrahim the concept of Assets and the different type of Assets.

- Explain to Ibrahim the meaning of Intangible assets, their recognition and valuation.

- Explain to Ibrahim the appropriate accounting classification regarding points 1, 2 and 3 mentioned above as a consultation and justify your answers.