Page 223 - TSMC 2022 Annual Report

c. Material terms of right-of-use assets
The Company leases land and buildings mainly for the use of plants and offices with lease terms of 1 to 36 years. The lease contracts for land located in the R.O.C. specify that lease payments will be adjusted every 2 years on the basis of changes in announced land value prices. The Company does not have purchase options to acquire the leasehold land and buildings at the end of the lease terms.
d. Other lease information
Expenses relating to short-term leases Total cash outflow for leases
Years Ended December 31
$ $
Software and System Design Costs
2022
4,731,087 7,618,290
Patent and Others
11,497,309 203,030 - 1,553
11,701,892
8,205,821 1,188,033 - 686
9,394,540 2,307,352
11,277,701 219,504 - 104
11,497,309
7,008,978 1,196,523 - 320
8,205,821 3,291,488
$ $
2021
5,250,279 7,510,762
16. INTANGIBLEASSETS
Cost
Goodwill
Technology License Fees
Total
84,061,389 7,535,092
(96,252) 428,297
91,928,526
57,239,692 8,756,094
(77,612) 11,197
65,929,371 25,999,155
75,114,982 9,318,478
(318,736) (53,335)
84,061,389
49,346,803 8,207,169
(317,508) 3,228
57,239,692 26,821,697
Balance at January 1, 2022 $ 5,379,164 Additions - Disposals or retirements - Effect of exchange rate changes 412,657
Balance at December 31, 2022 $ 5,791,821
Accumulated amortization and impairment
Balance at January 1, 2022 $ - Additions - Disposals or retirements - Effect of exchange rate changes -
Balance at December 31, 2022 $ -
Carrying amounts at December 31, 2022 $ 5,791,821
Cost
Balance at January 1, 2021 $ 5,436,602 Additions - Disposals or retirements - Effect of exchange rate changes (57,438)
Balance at December 31, 2021 $ 5,379,164
Accumulated amortization and impairment
Balance at January 1, 2021 $ - Additions - Disposals or retirements - Effect of exchange rate changes -
Balance at December 31, 2021 $ - Carrying amounts at December 31, 2021 $ 5,379,164
$
$
$
$ $
$
$
$
$ $
23,533,959 2,253,095
(29,991) 1,956
25,759,019
14,912,293 2,793,539
(11,351) 1,956
17,696,437 8,062,582
22,161,712 1,372,806 -
(559) 23,533,959
12,226,066 2,686,786 -
(559) 14,912,293 8,621,666
$
$
$
$ $
$
$
$
$ $
43,650,957 5,078,967
(66,261) 12,131
48,675,794
34,121,578 4,774,522
(66,261) 8,555
38,838,394 9,837,400
36,238,967 7,726,168
(318,736) 4,558
43,650,957
30,111,759 4,323,860
(317,508) 3,467
34,121,578 9,529,379
$
$
$
$ $
$
$
$
$ $
$
$
$
$ $
$
$
$
$ $
The Company’s goodwill has been tested for impairment at the end of the annual reporting period and the
recoverable amount is determined based on the value in use. The value in use was calculated based on the cash flow forecast from the financial budgets covering the future five-year period, and the Company used
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