Blue Corporation incurred the following expenses in connection with the development of a new product:

Salaries $100,000

Utilities 18,000

Materials 25,000

Advertising 5,000

Market survey 3,000

Depreciation on machine 9,000

Blue expects to begin selling the product next year. If Blue elects to amortize research and experimental expenditures over 60 months, determine the amount of the deduction for research and experimental expenditures for the current year.

a.$0

b.$118,000

c.$143,000

d.$152,000

e.$160,000