Costs for which of the following activities would not be included as part of research and development (R&D)costs?
A)testing in search for or evaluation of product or process alternatives
B)adaptation of an existing capability to a particular requirement or customer's need as part of a continuing commercial activity
C)laboratory research aimed at discovery of new knowledge
D)modification of the formulation or design of a product or process

Question

Quizplus · Accepted Answer

Adaptation of an existing capability to a particular requirement or customer's need as part of a continuing commercial activity is not considered as part of research and development (R&D) costs. R&D costs refer to activities that are conducted to create new knowledge, products, or processes.

Costs for Which of the Following Activities Would Not Be