A company began a new software development project in 2023. The project reached technological feasibility on June 30, 2024, and was available for release to customers at the beginning of 2025. Development costs incurred prior to June 30, 2024, were $3,580,000 and costs incurred from June 30, 2024, to the product release date were $1,780,000. The economic life of the software is estimated at four years. For what amount will software be capitalized in 2024?

Multiple Choice $7,120,000 $3,580,000 $1,780,000 $0