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in 2 0 2 3 , crane corp. spent $ 4 1 3 , 2 0 0 on a research project, but by the end
in crane corp. spent $ on a research project, but by the end of it was impossible to determine wheather any benefit would come from it Crane prepares financial statements in accordance withIFRS.
b
The research project iscompleted in and a successful patent isobtained. The research phasecosts to complete the project
are $: The administrative and legal expenses incurred in obtaining patent number on January total
$ The patent has an expected useful life of five years. The company will now begin invectigating applications that useor
apply the knowledge obtained on this project. Record thesecosts in journal entry form. Also, record patent amortization for a full
vear in Fredit occount titles ore outometically indented when the omount is entered. Do not indent manually, If no entry is required,
Account Titles and Explanation
Debit
Credit
To record research phasecosts
assuming thecriteria are not
fulfilled for the development phase
To record legal and administrative
costs incurred to obtain patent
To record oneyear's amortization expense
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