Electronics R Us Spent $25,000 on Research and Development to Create

Multiple Choice

Electronics R Us spent $25,000 on research and development to create a new product. The product was successfully developed and launched into the market. How should the research and development costs be treated?

A) The full $25,000 should be capitalized.
B) The research portion of the $25,000 should be capitalized.
C) The research portion of the $25,000 should be expensed.
D) The full $25,000 should be expensed.