On January $1,2024,$ a company acquired land for $$9\mathrm{.}0$ million. The company paid $$2\mathrm{.}6$

million in cash and signed a $6\%$ note requiring the company to pay the remaining $$6\mathrm{.}4$

million plus interest on December $31,2025.$ An interest rate of $6\%$ properly reflects the time

value of money for this type of loan agreement. For what amount should the company record

the purchase of land?

A$)$ $$9\mathrm{.}0$ million

B$)$ $$8\mathrm{.}4$ million

C$)$ $$9\mathrm{.}6$ million

D$)$ $$6\mathrm{.}4$ million

Research and development $($R&D$)$ costs:

A$)$ generally, pertain to activities that occur prior to the start of production.

B$)$ may be expensed or capitalized, at the option of the reporting entity.

C$)$ must be capitalized and amortized.

D$)$ None of the other answer choices are correct.

A company purchases two pieces of research equipment at the beginning of $2024.$ The first

piece of equipment costs $$111,000$ and will be used for a current research project only. The

second piece of equipment also costs $$111,000$ and is expected to be used in a current

research project and also in multiple research projects over a four$-$year period. The

company's policy is to depreciate equipment on a straight$-$line basis with no residual value.

For what amount would the company record research and development expense in $2024?$

A$)$ $$222,000$

B$)$ $$27,750$

C$)$ $$55,500$

D$)$ $$138,750$

Software development costs are capitalized if they are incurred:

A$)$ prior to the point at which technological feasibility has been established.

B$)$ after commercial production has begun.

C$)$ after technological feasibility has been established but prior to the product availabi

date.

D$)$ None of the other answer choices are correct