Indicate the proper accounting treatment for each element of R&D costs by selecting the appropriate circle.

Element CapitalizeExpense 1. The costs of facilities acquired or constructed for R&D and having alternative future uses. 2. Salaries of personnel engaged in R&D. 3. The depreciation of equipment or facilities used in R&D. 4. The costs of intangible assets purchased from others for a particular project and having no alternative future uses. 5. Costs of intangible assets to be used in R&D activities that have alternative future uses but were acquired in a business combination. 6. The portion of indirect costs that is allocated to R&D. 7. The costs of equipment acquired for a particular project that has no alternative future uses. 8. The costs of services performed by others in connection with the R&D activities of an entity. 9. Costs of a tangible asset to be used in an R&D activity that has alternative future uses but was acquired as part of a group of assets. All other assets in the group have no alternative future uses.