Brief Exercise $11-12($Algo$)$ Amortization; Software development costs $[$LO$11-4]$

Early in $2024,$ the Excalibur Company began developing a new software package to be marketed. The project was completed in December $2024$ at a cost of $$24$ million. Of this amount, $$16$ million was spent before technological feasibility was established. Excalibur expects a useful life of five years for the new product with total revenues of $$40$ million. During $2025,$ revenue of $$12$ million was recognized.

Required:

Prepare a journal entry to record the $2024$ development costs.

Calculate the required amortization for $2025.$

Determine the amount to report for the computer software costs in the December $31,2025,$ balance sheet.