Because the future benefits of research and development costs are uncertain, FASB requires that research and development costs be treated as an expense on the income statement.
The Financial Accounting Standards Board (FASB), a privately owned, non-profit organization with its headquarters in Norwalk, Connecticut, was founded in 1973. It sets financial accounting and reporting standards for for-profit and for-profit businesses that adhere to generally accepted accounting principles (GAAP).
The U.S. Securities and Exchange Commission has designated the FASB as the designated accounting standard-setter for public corporations. Many other organizations, such as state Boards of Accountancy and the American Institute of CPAs, regard FASB standards as authoritative.
To know more about FASB: https://brainly.com/question/25686382
#SPJ4
