Is license of comp software and intangible asset or can this be expenses ?

Question

Should i account for the license (Dell) of computer software under intangible assets or as an Expense ?

Answer 1

Is it operating system software for computer? The general rule is that when the software is an integral part of the hardware then the software cost should be included in the hardware and account for as per IAS 16 - Property Plant & Equipment. For example, an operating system such as Microsoft Windows, Mac, Linux of a computer is an integral part of the computer and the computer can not operate with such OS. If not, it is an intangible asset.