Dynamics acquired a trademark at a cost of $4 million on 1 January 2016. At that date, the trademark had an estimated useful life of 20 years. Brands Vision, a brand valuation firm, has advised that this particular trademark has a fair value of $4 million at 31 December 2016. In the draft financial statements at 31 December 2016, the trademark is shown at $5.2 million. An increase in fair value has been recognised in other comprehensive income and carried as a revaluation surplus within equity.
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