Research and Development Costs


Research and Development (R&D) costs are recognized as an expense during the period. Being recognized as an expense means that such costs are not capitalized as an intangible asset.

Costs of computer software
(1) Costs incurred until the technological feasibility is established –> research and development costs –> recognized as an expense
(2) Software production costs incurred after the technological feasibility is established
–> capitalized as an intangible asset

 

 

© AccountingInfo.com

 

Related Posts