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Posted: April 18th, 2024
In 2011, Austin Powers Corporation developed a new product
In 2011, Austin Powers Corporation developed a new product that will be marketed in 2012. In connection with the development of this product, the following costs were incurred in 2011: research and development costs $400,000; materials and supplies consumed $60,000; and compensation paid to research consultants $125,000. It is anticipatedthat these costs will be recovered in 2014. What is the amount of research and development costs that Austin Powers should record in 2011 as a charge to expense?
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