Answer
There are uncertainties in identifying the extent and timing of the future benefits of these expenditures.
Work Step by Step
Hence, Companies usually record research and development cost as an expense when incurred.
Accounting: Tools for Business Decision Making, 5th Edition
by Kimmel, Paul D.; Weygandt, Jerry J.; Kieso, Donald E.
Published by
Wiley
ISBN 10:
1118128168
ISBN 13:
978-1-11812-816-9
Chapter 9 - Reporting and Analyzing Long-Lived Assets - Questions - Page 483: 21
Update this answer!
You can help us out by revising, improving and updating this answer.
Update this answerAfter you claim an answer you’ll have 24 hours to send in a draft. An editor will review the submission and either publish your submission or provide feedback.
