Which of the Following Expenditures Cannot Be Included in R&D

question 34

Multiple Choice

Which of the following expenditures cannot be included in R&D costs?

• A)indirect costs
• B)intangibles purchased from others
• C)personnel costs
• D)contract services performed for others

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Definitions:

Asset Turnover

A financial ratio that measures the efficiency of a company's use of its assets to generate sales revenue.

Profit Margin

A financial ratio that measures the amount of net income earned with each dollar of sales by comparing profit to revenue.

Times Interest Earned

A financial ratio that measures a company's ability to meet its interest obligations based on its current earnings.

Price-earnings

A financial ratio that measures the market value of a stock in relation to its earnings per share, indicating how much investors are willing to pay per dollar of earnings.