Zach developed a new machine for manufacturing cookies and had it patented. The following were incurred: Special equipment for developing the new machine 1,440,000 Salaries and benefits of scientists 160,000 Cost of testing prototype 200,000 Legal fees for filing of patent 120,000 Fees paid to Intellectual Property Office 40,000 Other patent application requirements by the IPO 32,000 What amount is considered as research and development expense?

Zach developed a new machine for manufacturing cookies and had it patented. The following were incurred: Special equipment for developing the new machine 1,440,000 Salaries and benefits of scientists 160,000 Cost of testing prototype 200,000 Legal fees for filing of patent 120,000 Fees paid to Intellectual Property Office 40,000 Other patent application requirements by the IPO 32,000 What amount is considered as research and development expense?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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