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Incurred $350,000 of research and development costs to develop a product for which a patent was granted on January 2, 1999. Legal fees and other costs associated with registration of the patent totaled $100,000. A. Associating cause and effect b. Systematic and rational allocation c. Income tax minimization d. Immediate recognition as an expense Gomez Corp. Which of the following principles best describes the current method of accounting for research and development costs? A. Associating cause and effect b. Systematic and rational allocation c. Income tax minimization d. Immediate recognition as an expense Gomez Corp.
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