I know the answer to this problem but i need to know what IAS standard this prob

Question

I know the answer to this problem but i need to know what IAS standard this problem is dealing with

5. The South African government grants a South African company a license to fish off the coast of Cape Town, South Africa. The fair value of the license is $50,000 and the company is required to pay a relatively small sum of $1 000 for the license. Required: Show the journal entries assuming A. The company chooses to measure the license at its fair value. B. The company chooses to measure the license at its nominal amount.

Explanation / Answer

IAS 20 - Accounting for Government Grants

Standard deals with accounting, Presentation and Disclosure of government grant and its assistance.

Hence grant received by south african company would be accounted, Presented and disclosed as per this standard.

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