You have been hired as a consultant for XYZ Research Co. XYZ Research Co. incorporated in 2010. XYZ 's business centers on developing new technology...

You have been hired as a consultant for XYZ Research Co. XYZ Research Co.

incorporated in 2010. XYZ ‘s business centers on developing new technology for

interplanetary exploration. The company has many patents and has historically

expensed all of the costs associated with obtaining their patents. The owners of

XYZ Labs are unsure whether or not if any or all of its patent costs can be

capitalized. They also are unsure if any impairment testing should be done

periodically on their patents. You have been asked by the owners to look into

these issues and provide the

appropriate

accounting treatment for patients