Suppose a company has research costs of $100,000 and development costs of $200,000 for the year.Under U.S.GAAP,what amount would be reported as an expense in the current year's income statement?
A)$100,000.
B)$150,000.
C)$200,000.
D)$300,000.

Question

Quizplus · Accepted Answer

Under U.S. GAAP, both research costs and development costs are expensed as incurred. Therefore, the total amount of $300,000 ($100,000 + $200,000) would be reported as an expense on the current year's income statement.

Suppose a Company Has Research Costs of $100,000 and Development