Flappy Software began a new development project in 2019 . The project reached technological feasibility...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Flappy Software began a new development project in 2019 . The project reached technological feasibility on Sept 30, 2020 and was available for release to customers at the beginning of 2021. Development costs incurred prior to Sept 30, 2020 were $1,000,000 and costs incurred from Sept 30 to the product release date were $400,000.2021 revenues from the sale of the new software were $8,000,000 and the company anticipates additional revenues of $16,000,000. How much will be capitalized as software development costs
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Flappy Software began a new development project in 2019 . The project reached technological feasibility on Sept 30, 2020 and was available for release to customers at the beginning of 2021. Development costs incurred prior to Sept 30, 2020 were $1,000,000 and costs incurred from Sept 30 to the product release date were $400,000.2021 revenues from the sale of the new software were $8,000,000 and the company anticipates additional revenues of $16,000,000. How much will be capitalized as software development costs 