suppose i have paid 500000for advertisement which is expected to give me benefit for the period of 5 year.
how i should account this.
i think i should treat it as deferred revenue expenditure.
however i strongly feel it should be written of in a year.the logic on the basis of which i think like this is that AS 26 is clean up standard which says that if a expenditure fulfills the ARC, is accounted as an intangible assets under As 26 & written off as prescribed in As 26 itself and if not fulfilled then write off in year the year itself in which it is incurred.
plz give your suggestion.
thanks a lot
CAclubindia
