5. OPAL Company, a pesticide manufacturer, incurred the following costs during the year 2023: Repair and troubleshooting costs incurred during the commercial production process Costs of evaluating and testing the alternative new product P400,000 formulations that can be developed and marketed in the future Modifications made to the current production process to accommodate a large specialized order by a customer Costs of modifying the production process to accommodate the new product that will be manufactured Purchase cost of a machinery acquired on January 1 that can be 1,200,000 560,000 used in multiple R\&D projects for 4 years and can be used in commercial production for 3 years thereafter Purchase cost of a machinery acquired on July 1 that can be used for only a single project Cost of testing the new product formulation regarding its effect in the environment Costs of modifying the existing product formulations to check the reduction of their adverse impact to the environment Total costs of manufacturing the Company's existing products 2,800,000 600,000 750,000 900,000 4,000,000 Required: From the given information above, determine the amount of research and development expenditures for the year 2023