User Account

All Pages

How much research and development should be expensed

Assignment Help Accounting Basics
Reference no: EM133102435

Question - During the year ended 30 June, 2018 Crackpot Ltd incurred the following expenditure in respect of a research and development project:

Research $150,000

Development $330,000

The project is expected to return profits of $280,000 over the next four years that is $70 000 per year starting from 1 July, 2018.

Crackpot uses a discount rate of 10%.

Required -

(a) How much research and development should be expensed in the year ended 30 June, 2018? How to account for that?

(b) How much research and development should be amortised in the year ended 30 June, 2019? How to account for that?

Reference no: EM133102435

Questions Cloud

How much is the bonus before bonus and before tax : NANOEDGE Co. grants its managerial employees bonus in the form of profit sharing. How much is the bonus before bonus and before tax
Motivate employees in different cultures : Identify some basic issues managers must confront when attempting to motivate employees in different cultures. Provide an example and be specific.
Personal leadership style and leadership philosophy : Personal leadership style and leadership philosophy, Applicability of leadership theories for organizational health, Importance of diversity
Knowledge and understanding of a balanced scorecard : Using your knowledge and understanding of a balanced scorecard, provide a detailed argument for the use of balanced scorecards in the healthcare industry.
How much research and development should be expensed : How much research and development should be expensed in the year ended 30 June, 2018? How to account for that
How your startup will affect stakeholders : Write a few sentences about how your startup will affect these stakeholders (such as creating new jobs in your community or marketing a quality product that cus
Communication plan for a healthcare business plan : What type of stakeholders need to be involved in a communication plan for a healthcare business plan? Provide a rationale.
Discuss the main influences on pricing decisions : Discuss the main influences on pricing decisions in terms of market positioning, product costs, customer value, competitors behaviour and legal
Literature review of case company vision : Conduct a literature review of your case company's vision, goals, strategy, and investment philosophy, comparing them to those of at least two rival companies.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd