Research and development (R&D) costs:
A) Generally pertain to activities that occur prior to the start of production.
B) May be expensed or capitalized, at the option of the reporting entity.
C) Must be capitalized and amortized.
D) None of these answer choices are correct.

Question

Quizplus · Accepted Answer

R&D costs generally pertain to activities that occur prior to the start of production, focusing on the development of new products or processes.

Research and Development (R&D) Costs