Question: Lampeter Cosmetics has spent $220 000 this year on a project to develop a new range of chemical-free cosmetics. As yet it is too early

Lampeter Cosmetics has spent $220 000 this year on a project to develop a new range of chemical-free cosmetics. As yet it is too early for Lampeter Cosmetics' management to be able to predict whether this project will prove to be commercially successful.
Explain whether Lampeter Cosmetics should recognise this expenditure as an asset, justifying your answer by reference to the Conceptual Framework asset definition and recognition criteria.

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