Research and Development Costs Are

question 88

Multiple Choice

Research and development costs are

• A) capitalized and depreciated over the period which they benefit.
• B) expensed as incurred.
• C) added to the cost of the invented product.
• D) added to the cost of the invented product if a reliable date of actual production is known.

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Definitions:

Anticlines

Upward folds or arches of rock layers, often associated with oil and natural gas deposits.

Synclines

Geological folds that dip towards each other from opposite sides, often forming a trough-like structure.

Joints

Natural fractures or separations in rocks that occur without the rock moving apart.

Normal Faults

A type of fault where the hanging wall moves down relative to the footwall due to tensile (pulling apart) stress in the Earth's crust.