Reference no: EM132725585

NOP Company made the following expenditures relating to product Y:

Legal costs to file a patent on Product Y. Production of the finished product would not have been undertaken without the patent. 100,000;

Special equipment to be used solely for development of product Y.

The equipment has no other use and has an estimated useful life of four years 1,200,000;

Labor and material costs incurred in producing a prototype 4,000,000;

Cost of testing the prototype 1,600,000.

OPN Company incurred the following costs during the current year:

Design of tools, jigs, molds, and dies involving new technology. 250,000;

Modification of the formulation of a process 320,000;

Troubleshooting in connection with breakdowns during commercial production. 200,000;

Adaptation of an existing capability to a particular customer's need as part of a continuing commercial activity. 220,000.

PNO Company incurred the following costs related to a new solar-powered car:

Salaries of laboratory employees researching how to build the new car 5,000,000;

Legal fees for the patent application for the new car. 400,000;

Engineering follow-up during the early stage of commercial production during the current year. 1,000,000;

Marketing research to promote the new car. 600,000;

Design, testing and construction of a prototype. 8,000,000.

Problem 1: What amount should be reported as research and development expense in the current year by NOP, OPN and PNO, RESPECTIVELY? (answers should be separated by semi-colon;no space)