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Question - As required under IFRS, Btown expenses research outlays when incurred. The following table provides an overview of Btown's research outlays (outlays occur evenly over the year):
2017
2018
2019
2020
2021
2022
Outlays
€6,000
€8,000
€12,000
€10,000
€12,500
€15,000
An analyst wants to adjust Btown's financial statements by capitalizing the company's research outlays and amortize them over 4.5 years. Btown's tax rate is 30%. What is the amortization expense that the analyst should record in the ending 2022 income statement?
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