CPA · Question 22 · Area II: Balance Sheet Accounts
TechDev Inc. incurred the following costs during the year related to developing a new software product for sale:<br/>- Completion of detailed program design: $50,000<br/>- Coding and testing (before technological feasibility): $80,000<br/>- Coding and testing (after technological feasibility): $60,000<br/>- Production of product masters: $20,000<br/>- Duplication of software and manuals for sale: $15,000<br/><br/>What amount should be capitalized as software inventory?
Answer options:
$80,000
$95,000
$60,000
$15,000
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