Answer:
The correct answers are:
(a) Expense as R&D.
(b) Expense as R&D (unless economic viability is achieved).
(c)Capitalize as patent and/or license and amortize
Explanation:
R&D expenses are all those related to scientific research. All expenses associated with research and development projects will be included in them: personnel expenses, purchases of raw materials, transportation, supplies.
In accounting, research expenses will be considered as expenses for the year, while development expenses are amortized, according to international financial reporting standards (IFRS).
Differences between research expenses and development expenses
Research expenses: They will be all those that correspond to an investigation that seeks to find scientific and technical news.
Development expenses: Refers to all expenses that will result in the implementation of the results obtained in the investigation phase. For this, it will be necessary to present a plan detailing all the expenses from the production process to its commercialization.
This kind of expenses, whether development or research, accounting, have to be classified by research projects, so that they can identify what expenses correspond to each product and each line of research.
It should be noted that unlike research expenses, those caused by development projects may be included in the cost of Industrial Property when the corresponding patent is obtained.
