Henson Company Incurred $450,000 of Research Costs in Its Laboratory

Multiple Choice

Henson Company incurred $450,000 of research costs in its laboratory to develop a new product.It spent $60,000 in legal fees for a patent granted on January 2, 2011.On July 31, 2011, Henson paid $45,000 for legal fees in a successful defense of the patent.What is the total amount that should be debited to Patents through July 31, 2011?

A) $450,000
B) $105,000
C) $555,000
D) Some other amount