gal fees in successful patent defense $ 20,000 Researcher salaries to develop drugs 85,000 Acquired a new patent 50,000 Research lab rent expense 6,000 1. Indicate costs that are reported as research and development expenses on the income statement. 2. Indicate costs that are capitalized and reported in the Patent account on the balance sheet.

The management of a supermarket wants to adopt a new promotional policy of giving a free gift to every customer who spends > a certain amount per visit at this supermarket. the expectation of the management is that after this promotional policy is advertised, the expenditures for all customers at this supermarket will be normally distributed with a mean of $95 and a standard deviation of $20. if the management wants to give free gifts to at most 10% of the customers, what should the amount be above which a customer would receive a free gift?