The Fallen Company began business early in 2010, when Fallen paid an initial fee of $100,000 to purchase a franchise. In forming the company, Fallen also spent $11,000 on legal fees and $4,500 on accounting fees. During the year, Fallen spent $7,500 on product development and paid $10,000 in continuing franchise fees. What amount should Fallen capitalize for intangible assets in 2010?

a) $100,000

b) $115,500

c) $123,000

d) $133,000