Sirius XM Holdings, Inc. We could adjust the financial statements to undo the expensing of...

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Accounting

Sirius XM Holdings, Inc. We could adjust the financial statements to undo the expensing of R&D. In this case, we would include the expenditures in our intangible asset balance. However, we would likely amortize the asset over a fixed term. In addition to the R&D expense reported in 2019 and 2020, Sirius incurred the following expenditures:
Year R&D Costs
2018106.0
201797.0
201669.0
201555.0
201454.0
201351.0
201243.0
201149.0
201040.0
Assume that Sirius R&D creates benefit for 7 years. Undo the R&D expense, by assuming the expense each year was capitalized, and then amortized over 7 years. What would the net asset basis be as of December 2020? What amortization expense would Sirius report in 2020 related to its R&D?(Assume you can take a full year of amortization expense in the year that the R&D cost was incurred).

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