Kindly show extremely detailed calculation for this

QUESTION $4$

IFRS allows firms to capitalise development expenditures. BioZone Inc. capitalises all its

development expenditures, and expenses all its research expenditures every year. The

company's development expenditures and total R&D expenditures during the period

$2013-2020$ were as follows:

An analyst thinks expensing all the research expenditures understates the firm's intangible

assets. What adjustments should the analyst make to BioZone's $2020$ income statement

and balance sheet if he decides to additionally capitalise $50\%$ of all its research

expenditures? Assume all R&D expenditures incurred at the end of each year and all R&D

assets have a useful life of five years. BioZone's tax rate is $40\%.$ Show your calculations step

by step.