Bangor Company Incurred $70,000 of Research Costs in Year 1

Multiple Choice

Bangor Company incurred $70,000 of research costs in year 1.In May of year 2, it began to sell the products developed through this research.Which of the following is correct regarding these expenditures?

A) Bangor can deduct $9,333 in year 2.
B) Bangor can deduct $35,000 of the costs in each of years 1 and 2
C) Bangor can deduct all $70,000 in year 2.
D) Bangor cannot deduct the expenditures unless it abandons the project.