Lavender,Inc. ,incurs research and experimental expenditures of $210,000 in 2014.Determine the amount of the AMT adjustment for 2014 and for 2015 if for regular income tax purposes:
a.Lavender expenses the research and experimental expenses.
b.Lavender capitalizes the research and experimental expenses and elects to amortize them over a 10-year period.

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The Answer of Lavender,Inc. ,incurs research and experimental expenditures of $210,000 in 2014.Determine the amount of the AMT adjustment for 2014 and for 2015 if for regular income tax purposes:
a.Lavender expenses the research and experimental expenses.
b.Lavender capitalizes the research and experimental expenses and elects to amortize them over a 10-year period.