If a Company Constructs a Laboratory Building to Be Used

Multiple Choice

If a company constructs a laboratory building to be used as a research and development facility, the cost of the laboratory building is matched against earnings as

A) amortization deducted as part of research and development costs.
B) research and development expense in the period(s) of construction.
C) amortization or immediate write-off, depending on company policy.
D) an expense at such time as productive research and development has been obtained from the facility.