During 2020, TULIP Corporation incurred costs to develop and produce a routine, low-risk computer software product as follows: Packaging product (500 units) -₱90,000; Duplication of computer software and training materials from product masters (1,000 units) -₱250,000; Completion of detailed program design -₱130,000; Cost of producing product masters for training materials -₱150,000; Other testing costs after establishment of technological feasibility -₱200,000; Costs incurred for coding and testing to establish technological feasibility -₱100,000; Other coding costs after establishment of technological feasibility -₱240,000. In TULIP's December 31, 2020 statement of financial position, what amount should be capitalized as software cost subject to amortization? * a. ₱ 570,000 b. ₱ 690,000 c. ₱ 540,000 d. ₱ 590,000
During 2020, TULIP Corporation incurred costs to develop and produce a routine, low-risk computer software product as follows: Packaging product (500 units) -₱90,000; Duplication of computer software and training materials from product masters (1,000 units) -₱250,000; Completion of detailed program design -₱130,000; Cost of producing product masters for training materials -₱150,000; Other testing costs after establishment of technological feasibility -₱200,000; Costs incurred for coding and testing to establish technological feasibility -₱100,000; Other coding costs after establishment of technological feasibility -₱240,000. In TULIP's December 31, 2020
a. ₱ 570,000
b. ₱ 690,000
c. ₱ 540,000
d. ₱ 590,000
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