In 2018, Starsearch Corporation began work on three research and development projects. One of the projects was completed and commercial production of the developed product began in December. The company's fiscal year-end is December 31. All of the following 2018 expenditures were included in the R&D expense account:

Salaries and wages for:Lab research$420,000Design and construction of preproduction prototype280,000Quality control during commercial production32,000Materials and supplies consumed for:Lab research72,000Construction of preproduction prototype42,000Purchase of equipment720,000Patent filing and legal fees for completed project52,000Payments to others for research180,000Total$1,798,000

$260,000 of equipment was purchased solely for use in one of the projects. After the project is completed, the equipment will be abandoned. The remaining $460,000 in equipment will be used on future R&D projects. The useful life of equipment is five years. Assume that all of the equipment was acquired at the beginning of the year.

Required:

Prepare journal entries, reclassifying amounts in R&D expense, to reflect the appropriate treatment of the expenditures.(If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)