Exercise $10-31($Algo$)$ Software development costs $[$LO$10-8]$

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 $$9$ million. Of this amount, $$6$ million was spent before technological feasibility was established. Excalibur expects a useful life of five years for the new product with total revenues of $$14$ million. During $2025,$ revenue of $$7$ million was recognized.

Required:

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

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field. Enter your answers in whole dollars and not in millions.

Journal entry worksheet

$1$

Record the $2024$ development costs.

Note: Enter debits before credits.

$\backslash$table$[[$Transaction$,$General Journal,Debit,Credit$],[1,,,],[,,,],[,,,]]$