Coddy Ltd is developing a new product, the fold-up bicycle. Forecasts are as follows: Expense Costs 2005 S 500 Revenue from other activities Revenue from other widgets Development costs -600 2006 $ 700 500 Show how the development costs should be treated if: 1. the costs do not qualify for capitalisation 2. the costs do qualify for capitalisation. 2007 $ 800 700 2008 $ 800 900