Problem 7-40 (LO. 5) Blue Corporation, a manufacturing company, decided to develop a new line of merchandise. The project began in 2018. Blue had the following expenses in connection with the project: 2018 2019 $500,000 $600,000 90,000 70,000 8,000 11,000 6,0008,000 7,000 6,000 11,000 18,000 0 20,000 15,000 14,000 Salaries Materials Insurance Utilities Cost of inspection of materials for quality control Promotion expenses Advertising Equipment depreciation Cost of market survey 8,000 product will be introduced for sale beginning in July 2020. Determine the amount of the deduction for research and a. The new experimental expenditures for 2018, 2019, and 2020. If an amount is zero, enter 0. If Blue Corporation elects to expense t the research and experimental expenditures, what will the amount of the deduction be? 2018 2019 2020 a. The new product will be introduced for sale beginning in July 2020. Determine the amount of the deduction for research and experimental expenditures for 2018, 2019, and 2020 If an amount is zero, enter 0. If Blue Corporation elects to expense the research and experimental expenditures, what will the amount of the dedution be? 2018 2019 2020 Amount of the deduction 26,000 X 0 b. If Blue Corporation elects to amortize the research and experimental expenditures over 60 months, what will the amount of the deduction be? When required, calculate the monthly expense to the nearest dollar and use in subsequent computations. If an amount is zero, enter 0. 2018 2019 2020 Amount of the deduction 0