Munn Inc. has transactions and other information relating to intangible assets as follows. 1. Munn Inc. paid $192,000 to purchase a patent from Grey Company on January 2, 2020, when the remaining legal life was 16 years. 2. On January 1, 2021, Munn determined that the remaining useful life of the patent was only ten years from the date of its acquisition. Required: Given the information above, prepare all necessary journal entries in 2020 and 2021. Note: You may create a table as follows to organize your journal entries. Date Account titles Debit Credit Cash 10,000 Sales Revenue 10.000

Munn Inc. has transactions and other information relating to intangible assets as follows. 1. Munn Inc. paid $192,000 to purchase a patent from Grey Company on January 2, 2020, when the remaining legal life was 16 years. 2. On January 1, 2021, Munn determined that the remaining useful life of the patent was only ten years from the date of its acquisition. Required: Given the information above, prepare all necessary journal entries in 2020 and 2021. Note: You may create a table as follows to organize your journal entries. Date Account titles Debit Credit Cash 10,000 Sales Revenue 10.000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter12: Intangibles

Section: Chapter Questions

Problem 8P

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