According to a Financial Accounting Standards Board Statement, How Are

question 14

Multiple Choice

According to a Financial Accounting Standards Board Statement, how are research and development costs accounted for?

• A) They must be capitalized when incurred and then amortized over their estimated useful lives.
• B) They must be expensed in the period incurred.
• C) They may be either capitalized or expensed when incurred, depending upon the materiality of the amounts involved.
• D) They must be expensed in the period incurred unless it can be clearly demonstrated that the expenditure will have alternative future uses or unless contractually reimbursable.

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Definitions:

Memorized Approach

A sales technique wherein a seller uses a scripted message to pitch their product or service, often rehearsed to ensure consistency and effectiveness.

Time Limited

A situation or offer that is available only for a specified period before expiring or changing.

Need-Satisfaction Presentation

A sales technique focusing on identifying and addressing the specific needs or problems of a customer to suggest a tailored solution.

Selling Situation

The specific context or environment in which a sales interaction takes place, including factors like customer needs, competition, and market dynamics.