A&J Company incurred the following expenses related to patented drugs. Legal fees in successful patent defense $ 25,000 Researcher salaries to develop drugs 87,000 Acquired a new patent 52,000 Research lab rent expense 8,000 Indicate costs that are reported as research and development expenses on the income statement. Indicate costs that are capitalized and reported in the Patent account on the balance sheet.

A&J Company incurred the following expenses related to patented drugs. Legal fees in successful patent defense $ 25,000 Researcher salaries to develop drugs 87,000 Acquired a new patent 52,000 Research lab rent expense 8,000 Indicate costs that are reported as research and development expenses on the income statement. Indicate costs that are capitalized and reported in the Patent account on the balance sheet.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter12: Intangibles

Section: Chapter Questions

Problem 13E

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Legal fees in successful patent defense	$ 25,000
Researcher salaries to develop drugs	87,000
Acquired a new patent	52,000
Research lab rent expense	8,000

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