Accounting Choices for Biotechnology Research and Development Expen-ditures:Capitalization versus Expense
This paper delves into the accounting choices for research and development(R&D)expenses in the field of biotechnology,specifically examining capitalization and expensing as two distinct accounting methods.The article provides an in-depth analysis of the advantages and disadvantages associated with these methods and their potential impacts on companies,investors,and decision-makers.Capitalization enhances the quality of the balance sheet but may introduce greater complexity and tax considerations.On the other hand,expensing aids in short-term profit and cash flow but could lead to the neglect of long-term innovation potential.Additionally,the paper investigates the influence of factors such as company size and type,regulations and industry standards,as well as the nature and quantifiability of R&D projects on accounting choices.Lastly,the article highlights the role of regulatory bodies,offering policy recommendations and future research directions to assist companies in making informed accounting decisions.
Biological breedingAccounting choicesResearch and development(R&D)expensesCapitaliza-tionExpensing
NETL
NSTL
万方数据
维普
