A company incurred the follow costs related to research and development for the current year: Technology development (salaries and supplies) Engineering work performed by another company $350,000 180,000 Purchase of equipment 780,000 Testing new models 90,000 Legal fees for patent application 60,000 The equipment will be used in other projects. Depreciation in the current year is $120,000. For what amount should the company report research and development expense? $580,000. $740,000. $800,000. $590,000