Hi-Does anyone know how to do the following: In 2017, Tan Corporation incurred t

Question

Hi-Does anyone know how to do the following:
In 2017, Tan Corporation incurred the following expenditures in connection with the development of a new product:
Salaries-60,000
Supplies-20,000
Depreciation on Research Equipment- 10,000
Testing for quality control-5,000
Advertising-8,000
Overhead allocated to research-2,000
Tan began selling the product in November 2017. If Tan elects to amortize research and experimental expenditures, determine Tan's deduction for 2017.

(This is a tax class, so if anyone could help that would be great!!!)

Explanation / Answer

Salary 60000

Supplies 20000

Depreciation 10000

Overhead Allocation to Research 2000 Total qualifying Research Expenditure 92000

[($92,000/60 months) ×12 months] = $18,399.99 or 18400

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