Your would be correct Mr. Lambert.

The key here however is not that the art contest payout was capitalized, after all MP has indicated he thinks very little of IFRS so it is not a problem per se that he does not follow its rules. What is important is that it would be impossible to develop a framework which both allows something like the contest payout to be capitalized while at the same time not allowing all sort of other absurd things to be capitalized that any sane person would think should be expensed. One of the biggest areas of fraud and management manipulation of performance has been aggressive capitalization. WorldCom is but one example of many. There is a reason that the criteria is so fleshed out in IFRS and US GAAP. MP is effectively trying to create a framework on an ad hoc basis. It is doomed to failure unless he leverages heavily off of current mainstream standards.