Your colleague argues that R&D for ResearchCo should be capitalized and amortized. If R&D is capitalized, what

Question:

Your colleague argues that R&D for ResearchCo should be capitalized and amortized. If R&D is capitalized, what is the starting R&D asset, investment in R&D, amortization of R&D, and ending R&D asset by year? Use straight-line amortization over three years, with the first amortization charge deducted the following year.