ZuoTi.Pro
Question

On its income statement for the current year, the National Corporation reported an expense for research...

On its income statement for the current year, the National Corporation reported an expense for research and development of $522 million. What information is conveyed by this balance?

  • It is an amortization expense associated with patents, copyrights, and other intangible assets.

  • It is the amount spent on all research and development activities during the year.

  • It is the amount spent on all projects that did not result in at least 50 percent viability during the year.

  • It is an amount paid on all product development that failed during the year.

business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

The correct answer is B , it is the amount spent on all research and development activities during the year.

0 0
Add a comment
Know the answer?
Add Answer to:
On its income statement for the current year, the National Corporation reported an expense for research...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Allen Corporation reported research and development costs for 2014 of $4,000,000. Which of the following is...

    Allen Corporation reported research and development costs for 2014 of $4,000,000. Which of the following is true concerning this balance? Group of answer choices The $4,000,000 represents research and development costs for projects which did not prove successful. Allen had a choice between expensing the $4,000,000 or capitalizing it to an asset account and amortizing it. The $4,000,000 represents the amount spent on all research and development for 2014. Investors do not care how much Allen spent on research and...

  • Cost Select Amortization expense in current (partial) year Patent $4,100,000 Developed technology 3,100,000 In-process research and...

    Cost Select Amortization expense in current (partial) year Patent $4,100,000 Developed technology 3,100,000 In-process research and development 2,100,000 Goodwill 5,100,000 Total amortization expense - current year On June 28 Lexicon Corporation acquired 100% of the common stock of Gulf & Eastern. The purchase price allocation included the following items: $4.1 million, patent; $3.1 million, developed technology; $2.1 million, inprocess research and development; $5.1 million, goodwill. Lexicon’s policy is to amortize intangible assets using the straight-line method, no residual value, and...

  • During 2016, Marigold Corporation spent $154,080 in research and development costs. As a result, a new...

    During 2016, Marigold Corporation spent $154,080 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2016, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $28,080 related to the patent were incurred as of October 1, 2016. Prepare all journal entries required in 2016 and 2017 as a result of the transactions above. (Credit account...

  • During 2016, Riverbed Corporation spent $162,720 in research and development costs. As a result, a new...

    During 2016, Riverbed Corporation spent $162,720 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2016, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $36,720 related to the patent were incurred as of October 1, 2016. Your answer is correct. Prepare all journal entries required in 2016 and 2017 as a result of the...

  • Pharoah Company incurred the following costs during the current year in connection with its research and...

    Pharoah Company incurred the following costs during the current year in connection with its research and development activities. Cost of equipment acquired that will have alternative uses in future R&D projects over the next 5 years (uses straight-line depreciation) Materials consumed in R&D projects Consulting fees paid to outsiders for R&D projects Personnel costs of persons involved in R&D projects Indirect costs reasonably allocable to R&D projects Materials purchased for future R&D projects $282,500 55,500 115,000 125,000 45,500 32,500 Compute...

  • Oriole Company incurred the following costs during the current year in connection with its research and...

    Oriole Company incurred the following costs during the current year in connection with its research and development activities. Cost of equipment acquired that will have alternative    uses in future R&D projects over the next 5 years    (uses straight-line depreciation) $287,500 Materials consumed in R&D projects 56,500 Consulting fees paid to outsiders for R&D projects 125,000 Personnel costs of persons involved in R&D projects 125,500 Indirect costs reasonably allocable to R&D projects 46,500 Materials purchased for future R&D projects 33,500 Compute...

  • Exercise 12-9 During 2013, Pina Corporation spent $159,840 in research and development costs. As ...

    Exercise 12-9 During 2013, Pina Corporation spent $159,840 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2013, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $32,400 related to the patent were incurred as of October 1, 2013 Your answer is correct. Prepare all journal entries required in 2013 and 2014 as a result...

  • P5-54. Research and Development Expense International Business Machines Corporation (IBM) reported the following on its 2018...

    P5-54. Research and Development Expense International Business Machines Corporation (IBM) reported the following on its 2018 form 10-K. LO6 ATIONAL NESS HINES RATION BM) $ millions 2018 2017 2016 eW04 BC Total revenue .... Research, development and engineering expense ... Number of new patents awarded .. $79,591 5,379 9,100 $79,139 5,590 9,043 $79,919 5,726 8,088 Required a. Calculate IBM's common-size research, development and engineering expense for each year. What pattern do we observe? Is this of potential concern to investors?...

  • Please help me solve!! than you! Question 7 During 2013, Grouper Corporation spent $152,640 in research and developme...

    Please help me solve!! than you! Question 7 During 2013, Grouper Corporation spent $152,640 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2013, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $28,080 related to the patent were incurred as of October 1, 2013 Your answer is partially correct. Try again. On June 1,...

  • PLEASE SHOW ALL WORK! Exercise 12-09 During 2016, Blue Corporation spent $177,120 in research and development...

    PLEASE SHOW ALL WORK! Exercise 12-09 During 2016, Blue Corporation spent $177,120 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2016, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $49,680 related to the patent were incurred as of October 1, 2016. Your answer is correct. Prepare all journal entries required in 2016 and...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT