On March 17, Advanced Technologies developed a patent related to laser surgery techniques. They spent $1,290,000 to develop the patent internally, consisting of personnel ($845,000), equipment ($327,000), and materials ($118,000). The company also had the following additional costs: $29,000 in legal fees associated with the purchase and filing of the patent, $44,000 to advertise its new laser surgery techniques, and $54,000 to train employees. What is the recorded cost of the patent? Answer is complete but not entirely correct. Total capitalized cost $ 1,363,000
On March 17, Advanced Technologies developed a patent related to laser surgery techniques. They spent $1,290,000 to develop the patent internally, consisting of personnel ($845,000), equipment ($327,000), and materials ($118,000). The company also had the following additional costs: $29,000 in legal fees associated with the purchase and filing of the patent, $44,000 to advertise its new laser surgery techniques, and $54,000 to train employees. What is the recorded cost of the patent? Answer is complete but not entirely correct. Total capitalized cost $ 1,363,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Sagar
Transcribed Image Text:On March 17, Advanced Technologies developed a patent related to laser surgery techniques. They spent $1,290,000 to develop the
patent internally, consisting of personnel ($845,000), equipment ($327,000), and materials ($118,000). The company also had the
following additional costs: $29,000 in legal fees associated with the purchase and filing of the patent, $44,000 to advertise its new
laser surgery techniques, and $54,000 to train employees.
What is the recorded cost of the patent?
Answer is complete but not entirely correct.
Total capitalized cost $ 1,363,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education