its first year ot operation till 31 December 2016, Dariah Bhd. has been h eavily investing in research and development (R&cD) activities. As a result of the ReD efonhi o convert riboflavin into Chemicals A the company has successfully devised processes t and B. The cost involved was RM96,000 For Chemical A, no commercial uses have yet been discovered. However, the company has successfully developed a health drink, Fuiyoo', based on Chemical B. The nesearch and development expenditures for the drink was RM240,000. Commercial production and sales of the health drink commenced on 1 June 2016. The product is expected to roduce steady revenues during a five-year period, before being replaced with a new product. Evidence indicates that the company has adequate existing resources to achieve this. Required: State developme 2016. clearly how you would treat the expenditures and determine the amount ot xenditure that should be capitalized by Dariah Bhd. at 31 Deser