Indicate the proper accounting treatment for each element of R&D costs by selecting the appropriate circle. Element
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Indicate the proper accounting treatment for each element of R&D costs by selecting the appropriate circle.
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Element CapitalizeExpense 1. The costs of facilities acquired or constructed for R&D and having alternative future uses. 2. Salaries of personnel engaged in R&D. 3. The depreciation of equipment or facilities used in R&D. 4. The costs of intangible assets purchased from others for a particular project and having no alternative future uses. 5. Costs of intangible assets to be used in R&D activities that have alternative future uses but were acquired in a business combination. 6. The portion of indirect costs that is allocated to R&D. 7. The costs of equipment acquired for a particular project that has no alternative future uses. 8. The costs of services performed by others in connection with the R&D activities of an entity. 9. Costs of a tangible asset to be used in an R&D activity that has alternative future uses but was acquired as part of a group of assets. All other assets in the group have no alternative future uses. Element CapitalizeExpense 1. The costs of facilities acquired or constructed for R&D and having alternative future uses. 2. Salaries of personnel engaged in R&D. 3. The depreciation of equipment or facilities used in R&D. 4. The costs of intangible assets purchased from others for a particular project and having no alternative future uses. 5. Costs of intangible assets to be used in R&D activities that have alternative future uses but were acquired in a business combination. 6. The portion of indirect costs that is allocated to R&D. 7. The costs of equipment acquired for a particular project that has no alternative future uses. 8. The costs of services performed by others in connection with the R&D activities of an entity. 9. Costs of a tangible asset to be used in an R&D activity that has alternative future uses but was acquired as part of a group of assets. All other assets in the group have no alternative future uses.
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1The cost of the facilities acquired and constructed for RD and having alterative future uses are capitalized Explanation The cost of the facilities a... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0132162302
1st edition
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella
Posted Date:
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