Carm Ltd. is a company in the high-technology industry and follows IFRS. Carm has been working on developing a new solar panel technology. The technology meets all of the six criteria required in order to capitalize development costs. During 2022, Carm incurred the following costs related to research and development: Costs to train staff Legal costs to obtain new patent for technology Legal costs of defending new patent in court Materials consumed in manufacture of prototypes Consulting fees paid for general research Indirect costs related to research and development $390,000 Select one: O True O False $50,000 $36,000 $13,100 $45,200 $9,700 Based on the above information, the amount that Carm would be allowed to capitalize as an intangible asset is $99,100.

Carm Ltd. is a company in the high-technology industry and follows IFRS. Carm has been working on developing a new solar panel technology. The technology meets all of the six criteria required in order to capitalize development costs. During 2022, Carm incurred the following costs related to research and development: Costs to train staff Legal costs to obtain new patent for technology Legal costs of defending new patent in court Materials consumed in manufacture of prototypes Consulting fees paid for general research Indirect costs related to research and development $390,000 Select one: O True O False $50,000 $36,000 $13,100 $45,200 $9,700 Based on the above information, the amount that Carm would be allowed to capitalize as an intangible asset is $99,100.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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