The Stealth drone was developed by two engineers and the following costs have been expensed as incurred to date:
o Salaries, wages and benefits for the engineers 200,000
o Materials used in testing 40,000
o Costs to register the patent for "The Stealth" 10,000
o Legal fees to register patent 5,000
Should cost to register patent and legal feels be expensed or capitalized. Also, did he expense these cost correctly?