10 Take me to the textMirabella Manufacturing spent several years developing a process forproducing widgets. Its lawyer suggested patenting the process. Thecompany obtained the patent on January 1, 2020. The company paid$130,000 to the lawyer, $21,000 to the government for the patent and $7,000in additional fees.Requireda) Prepare the journal entry to record the full cost of the patent.Do not enter dollar signs or commas in the input boxes.DateAccount Title and ExplanationDebitCreditJan1To record the total relevant patent feesb) The patent has an estimated life of 20 years. Prepare the journal entry torecord amortization for one year on December 31, 2020.Round your answers to the nearest whole number.DateAccount Title and ExplanationDebitCreditDec31To record amortization for the yearCheck

The journal entries are prepared to keep the record of day to day transactions of the business.

Mirabella Manufacturing spent several years developing a process for producing widgets. Its lawyer suggested patenting the process. The company obtained the patent on January 1, 2020. The company paid $130,000 to the lawyer, $21,000 to the government for the patent and $7,000 in additional fees. Required a) Prepare the journal entry to record the full cost of the patent.

Mirabella Manufacturing spent several years developing a process for producing widgets. Its lawyer suggested patenting the process. The company obtained the patent on January 1, 2020. The company paid $130,000 to the lawyer, $21,000 to the government for the patent and $7,000 in additional fees. Required a) Prepare the journal entry to record the full cost of the patent.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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