During the current year, Creative Industries, Inc. conducted significant research activities related to the development of a new computer chip. Creative had the following cash expenditures: (Click the icon to view the costs.) Requirement Prepare all journal entries required to record Creative's R&D activities for the current year. (Assume that the diagnostic equipment has alternative future use. Abbreviation used: SL = Straight-line method. Record debits first, then credits. Exclude explanations from any journal entries.) Prepare the journal entry to record the research expenditures that must be expensed in the current year. Do not record the depreciation expense. The depreciation expense will be recorded in a later step. Account Current Year i Total Cost of Research Activities - X Amount Prepare the journal entry to record the expenditures that must be capitalized in the current year. $ Account Current Year Description Diagnostic equipment (4-year life $6,000 residual value. S-L method, purchased January 1) Salaries of laboratory technicians Testing materials used in experimentation Supplies used in the testing process Salary for engineer in the design phase of production Depreciation expense on research facilities Total cost of research activities 480.000 328.000 137.700 23.400 87.400 7,500 1.084.000 $ Prepare the journal entry to record the depreciation expense for the current year. Current Year Print Done