The cost of successfully defending a patent in an infringement suit should be
A)charged to Legal Expenses.
B)deducted from the book value of the patent.
C)added to the Patent account.
D)recognized as a loss in the current period.

Question

Quizplus · Accepted Answer

The cost of successfully defending a patent in an infringement suit is considered to enhance the value of the patent, so it should be capitalized and added to the Patent account.

The Cost of Successfully Defending a Patent in an Infringement