ABC COMPANY made the following cash expenditures during 2009 related to development of a new plastic surgery equipment: R& Development and wages $10,000,000 R&D Supplies consumed during 2009 3,000,000 Purchase of R &D Equipment 5,000,000 Patent Filing and legal fess 100,000 Payments for other works performed in connection With R&D activities 1,200,000 Total Expenditure 19,300,000 Note: The project resulted in a new product that will be marketed in January 2018. The Equipment purchased will be used in another project, however, it has a depreciation of $500,000 in 2009.

ABC COMPANY made the following cash expenditures during 2009 related to development of a new plastic surgery equipment: R& Development and wages $10,000,000 R&D Supplies consumed during 2009 3,000,000 Purchase of R &D Equipment 5,000,000 Patent Filing and legal fess 100,000 Payments for other works performed in connection With R&D activities 1,200,000 Total Expenditure 19,300,000 Note: The project resulted in a new product that will be marketed in January 2018. The Equipment purchased will be used in another project, however, it has a depreciation of $500,000 in 2009.

Financial Accounting Intro Concepts Meth/Uses

14th Edition

ISBN:9781285595047

Author:Weil

Publisher:Weil

Chapter4: Balance Sheet: Presenting And Analyzing Resources And Financing

Section: Chapter Questions

Problem 4Q

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