136. ABC Corp incurred the following R&D expenses in 20X1: Cost to complete a detailed formula on the vaccine, P1,560,000 Testing of the vaccine after the technical feasibility, P5,280,000 Production costs of the vaccine for initial distribution, P3,000,000 How much is the R & D expense? 1,560,000 3,000,000 5,280,000 9,840,000
Q: What is the purpose served by cost information illustrating it in relation to manufacturing business
A: A manufacturing company is an entity engaged in the production of goods. Manufacturing is about the…
Q: Current ratio for all the years As Reported Annual Balance Sheet Report Date Scale Assets Cash &…
A: Introduction: Current ratio: It tells the ability of a company to pay its short term obligations…
Q: their capital in the partnership is to reflect this ratio. 7. The partners further agreed to divide…
A: Here to determine the adjusted capital balance after the formation partnership for both HEAD and…
Q: The Delap Company accounts for non-current assets using the cost model. On 25, April 2016, Delap…
A: The impairment loss included in the statement of comprehensive income amounts to the difference in…
Q: Security Ronneby Corp. Stockholm Corp. Cost P540,000 15,000 P525,000 2,100 157,500* 151,200 Avesta…
A: FVOCI (Fair Value through Other Comprehensive Income) reports the difference in the carrying value…
Q: A piece of labor-saving equipment has just come onto the market that Mitsui Electronics, Ltd., could…
A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: 2. The earnings from a sales representative position are called compensation. Based on the following…
A: Commission is an important source of revenue for the employees along with basic salary. This is…
Q: QUESTION 12 The journal entry to record the payment of long service leave to an employee is OA Dy…
A: Journal means the book of original entry where the entry is passed for the very first time after…
Q: oduct Line Elimination Quiet Feet Inc. produces three different types of shoes. Complete the below…
A: Quiet feet Inc produces 3 different products namely Boots, Sneakers, and Sandals. Here Quiet feet…
Q: On January 13, 20xx, Karl Co. sold on account goods with selling price of P300,000 with terms of…
A: FOB destination, freight prepaid indicates that the seller is responsible for the goods until they…
Q: The following data pertain to Pauline Corporation on December 31, 2020: Current account at Metrobank…
A: Cash and cash equivalents are the resources which are liquid in nature because they can be paid at a…
Q: (a) The bank statement balance is $4,690. (b) The cash account balance is $5,080. (c) Outstanding…
A: Introduction: Bank reconciliation statement: To reconcile the differences between Cash book and pass…
Q: Which of the following statements best differentiates multinational firms from domestic firms? a.…
A: A multinational corporation is a company that operates in its home country, as well as in other…
Q: The Blake Company has an outstanding bank loan of P400,000 at an interest rate of 12%. The company…
A: An interest rate is defined as the proportion of an amount loaned which a lender charges as interest…
Q: 4. Your company is producing 750,000 units a year. All 750,000 units sell for P10 million. If cost…
A: The break even sales units are calculated as fixed cost divided by contribution margin per unit.…
Q: Alvin and Aldrin are partners sharing profits 60% and 40% respectively. The average profits for the…
A: Partnership is one of the agreement between two or more than two parties, in which they decide for…
Q: Sariah's Home Entertainment LLC ("SHE LLC") is a company that sells in-home entertainment systems.…
A: Net Taxable Income: It is the income of a company or corporation after deducting the allowable…
Q: U-LEE Company granted 180,000 restricted share awards of its no-par ordinary shares to executives,…
A: ESOP expenses is known as compensation cost. ESOP contibution expenses charge over the period of…
Q: Milo Corporation has two products in its ending inventory, each accounted for at the lower of cost…
A: Designated market value is the middle value of the three components that is the Net realisable…
Q: Appropriation account
A: Appropriation accounts keep aside money/ profits for various specific purposes. For example dividend…
Q: Age Interval Not due Est. Percentage Uncollectible Balance $63,000 2%
A: Formula used: Estimated Uncollectible amount = Balance amount x Estimated Percentage Uncollectible.
Q: 5. Compare the following purchase options of the SAME PRODUCT by exact calculation OPTION 1) 1-litre…
A: For determining the cheapest option, the per-litre cost of the available alternative needs to be…
Q: Careers in accounting that you can go in Types of businesses and business ownership What are some of…
A: Seeking a career in accounting is a wise decision, as the accounting employment market is booming.…
Q: 4/2 Purchased a company automobile for $32,000, with a cash down payment of $1,000 and the remaining…
A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…
Q: Develop a production schedule to produce the exact production requirements by varying the workforce…
A: Given data:
Q: WOODBRICKS CORP. decided on September 1, 2021 to dispose of a component of business. The component…
A: As per IFRS 5, Non-current assets held for sale and discontinued operations, Discontinued operation…
Q: The International Accounting Standards Board (IASB) works to formulate international accounting…
A: The International Accounting Standards Board (IASB) is an independent international setting body…
Q: CINTAS Balance Sheet (in thousands) Cash Marketable securities Accounts receivable Inventories…
A: 1) Current ratio = Current assets/ current liabilities 2) Inventory turnover ratio Cost of goods…
Q: 10. Purcell Export received an invoice dated August 21 from Dutch Specialties of Amsterdam with…
A: Hi student Since there are multiple questions, we will answer only first question. There are two…
Q: You would like to invest in ABC Corporation stocks. According to the stock broker, now is the best…
A: A rational person invests in shares when it is undervalued. But due to pandemics, the intrinsic…
Q: Grandma is worried about her kids and grandchildren. She has two sons, Charles and Tyler. Each is…
A: The estate means the property owned by an individual or the whole family. the value of the estate is…
Q: Need detail explanation. Explain departmental income statement and the criterion for division of…
A: A department is a unit or division of the company. A company may structure its business in different…
Q: Which of the following should be classified as noncurrent liability? Unearned revenue Accrued…
A: >Non current liabilities are the liabilities that are to be repaid in long term, say, after 1…
Q: Tiago makes three models of camera lens. Its product mix and contribution margin per unit follow:…
A: Introduction: The weighted average contribution margin is the standard amount by which a group of…
Q: The Steven Furtick Company uses the net price method of accounting for cash discounts. In one of its…
A: The net realizable value is calculated as difference between gross sales and allowance for doubtful…
Q: A company has a normal production level of 200,000 units per year, and production that is more than…
A: As per IAS 2, Inventories, The allocation of fixed overhead is based on the normal capacity of…
Q: Prepare income statement Particulars Sales Purchases Salaries Motor expenses Rent Ali Mamat…
A: Introduction: Income statement: All revenues and expenses are shown in income statement. It tells…
Q: The cost of an item of property, plant and equipment includes all of the following, except Purchase…
A:
Q: The following information has been taken from the accounting records of ABC Corporation for the year…
A: An income statement is a financial report that indicates the revenue and expenses of a business. It…
Q: explain how the idea of value creation under stakeholder theory differs from that under positive…
A: Here discuss about the details of the difference between the stakeholders theory with the positive…
Q: Polarix is a retailer of ATVs (all-terrain vehicles) and accessories. An income statement for its…
A: The contribution margin is calculated as difference between sales and variable costs.
Q: What would be incorrect about reporting accounts receivable in the balance sheet? Presenting…
A: Accounts Receivables - Accounts Receivables are the amount unpaid by the customer for the service…
Q: Prepare income statement Particulars Sales Purchases Salaries Motor expenses Rent Insurance Ali…
A: Income statement is one of the financial statement being prepared in business. This is prepared for…
Q: On December 31, 2020, Allan Company had the following cash balances: Cash on hand and in bank…
A: Answer : P5,913,000
Q: How distinguishes accounting and business administration from each other
A: Accounting: It is the process of recording any financial transactions incurred in the financial year…
Q: Prepare the journal entries to record the following transactions, in the books of Holman Dress…
A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…
Q: ARE YOU RIGHT OR WRONG? 1. Ideally, each salary check was handed to the employee, who signs a…
A: Introduction:- Payroll check is issued for the payment of salary. Payroll is the process of paying…
Q: 1. Answer the following questions about corporation (essay): a. Differentiate partnership and…
A: A partnership is a kind of business structure in which two or more people agree to carry out…
Q: 1. Why does the need for an accounting period cause problems?
A: Introduction: An accounting period is the time span during which a company compiles its financial…
Q: JFL is a CCPC company and has offered Gene the following stock option incentive as part of his…
A: Employee stock ownership plan also known as yes op or employees stock option plan is in scheme by…
136. ABC Corp incurred the following R&D expenses in 20X1:
Cost to complete a detailed formula on the vaccine, P1,560,000
Testing of the vaccine after the technical feasibility, P5,280,000
Production costs of the vaccine for initial distribution, P3,000,000
How much is the R & D expense?
1,560,000
3,000,000
5,280,000
9,840,000
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 50. ABC Corp incurred the following R&D expenses in 20X1: Cost to complete a detailed formula on the vaccine, P1,560,000 Testing of the vaccine after the technical feasibility, P5,280,000 Production costs of the vaccine for initial distribution, P3,000,000 How much should be included in the cost of the vaccine? 1,560,000 3,000,000 5,280,000 9,840,00022. ABC Corp incurred the following R&D expenses in 20X1: Cost to complete a detailed formula on the vaccine, P1,560,000 Testing of the vaccine after the technical feasibility, P5,280,000 Production costs of the vaccine for initial distribution, P3,000,000 How much should be included in the cost of sales of the vaccine? 1,560,000 3,000,000 5,280,000 9,840,000The following costs are incurred by Everlasting Corporation in 2022: a. Cost of activities aiming new knowledge P150,000 b. Cost of developing and producing prototype model 30,000 c. Cost of seminars to introduce the newly develop product 120,000 d. Advertisement cost to introduce the newly develop product 60,000 e. Cost incurred for search of alternatives 35,000 f. Cost of final selection of possible alternatives 50,000 g. Cost of machine acquired to be used only in an R&D project 300,000 h. Cost of engineering follow through in an early phase of commercial production 50,000 i. Adaptation of an existing capability to particular customers need 36,000 j. Salaries of employees involved in R&D 480,000 k. Radical modification to the formulation of a chemical product 40,000 l. Laboratory…
- Waikiki Trading Ltd incurred the following project expenditures inrespect of a new ERP system in the development phase: Salaries of IT employees working exclusively on the project:R670 000 Employee awareness leaflets: R32 000 General overhead cost allocation: R123 000 Specialist consultancy service: R432 000State what value for each of the above four expenditures will beincluded in the capitalised cost of the ERP system. Write downonly the amounts. (If the amount to be included is NIL in youropinion, then write down NIL).7. During 2020, TULIP Corporation incurred costs to develop and produce a routine, low-risk computer software product as follows: Packaging product (500 units) -₱90,000; Duplication of computer software and training materials from product masters (1,000 units) -₱250,000; Completion of detailed program design -₱130,000; Cost of producing product masters for training materials -₱150,000; Other testing costs after the establishment of technological feasibility -₱200,000; Costs incurred for coding and testing to establish technological feasibility -₱100,000; Other coding costs after the establishment of technological feasibility -₱240,000. In TULIP's December 31, 2020 statement of financial position, what amount should be capitalized as software cost subject to amortization? * a. ₱ 540,000 b. ₱ 570,000 c. ₱ 690,000 d. ₱ 590,000In year 1, in a project to develop product X, MAC company incurred R&D costs totaling $25 million. MAC is able to clearly distinguish the research phase from the development phase of the project. Research phase costs are $10 million, and development phase are $15 million. All of the IAS 38 criteria have been met for the recognition of $10 million of the development costs of an asset. Determine how costs will be capitalized and expensed under IFRS and GAAP Select one:a. GAAP : $10mn expensed as R&D. IFRS : $10mn capitalized as Deferred development costb. GAAP : $10mn capitalized as R&D. IFRS : $10mn capitalized as Deferred development costc. GAAP : $10mn capitalized as R&D. IFRS : $10mn expensed as Deferred development costd. GAAP : $10mn capitalized as R&D. IFRS : $10mn capitalized as Deferred development cost
- 12 The following costs were incurred by ABCDEFGH, Inc.. during 2020: July 1 Organization fees P120,000 July 2 Land site and old building 1,890,000 July 3 Option payments 250,000 July 20 Broker’s fees on property acquired 110,400 July 30 Cost of remodeling the building 60,000 August 30 Salaries of executives 360,000 December 21 Real property taxes 240,000 Additional information: The building acquired had a fair value of P450,000 while the land was currently appraised at P1,800,000 P50,000 of the option money paid were for properties not acquired. The executives had no participation on the remodeling of the building The property taxes were for the 2020 calendar year. How much is the cost of land? Group of answer choices 1,856,320 1,992,320 1,512,000 2,288,000Caramel Enterprises entered into a licensing agreement with Worldwide Lab Servcies for a new vaccine under development. Caramel will receive $92,100,000 if the vaccine receives FDA approval. Based on test results and past experience, Caramel determines that there is a 90% chance that the drug will be approved. The transaction price of this arrangement is Salaries of IT employees working exclusively on the project:R670 000 Employee awareness leaflets: R32 000 General overhead cost allocation: R123 000 Specialist consultancy service: R432 000State what value for each of the above four expenditures will beincluded in the capitalised cost of the ERP system. Write downonly the amounts.
- Bennet Co. incurred research and development costs in 2021 as follows: Materials used in research and development projects $ 450,000 Equipment acquired that will have alternate future uses in future research and development projects 3,000,000 Depreciation for 2021 on above equipment 300,000 Personnel costs of persons involved in research and development projects 750,000 Consulting fees paid to outsiders for research and development projects 300,000 Indirect costs reasonably allocable to research and development projects 225,000 Total $5,025,000 What amount of research and development costs should be charged to Bennet’s 2021 statement of profit or loss?Bennet Co. incurred research and development costs in 2021 as follows: Materials used in research and development projects $ 450,000 Equipment acquired that will have alternate future uses in future research and development projects 3,000,000 Depreciation for 2021 on above equipment 300,000 Personnel costs of persons involved in research and development projects 750,000 Consulting fees paid to outsiders for research and development projects 300,000 Indirect costs reasonably allocable to research and development projects 225,000 Total $5,025,000 Assume economic viability has not been achieved. What amount of research and development costs should be charged to Bennet’s 2021 statement of profit or loss? $AnswerXYZ Company made expenditures for the following: Costs in activities aimed at obtaining new knowledge P 10,000 Cost of developing and producing a prototype model 3,000 Cost of testing the prototype model for safety and environmental friendliness 30,000 Cost of revising designs for flaws in the prototype model 10,000 Salaries of employees, consultants and technicians involved in R and D 20,000 Marketing research to study consumer tastes 5,000 Advertising to establish recognition of the newly developed product 30,000 Cost of conference for the introduction of the newly developed product including fee of a model hired as endorser How much is recognized as research and development expense? _____________
