Skysong Golf Inc. was formed on July 1, 2024, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $810,000 cash for Old Master. At the time, Old Master's balance sheet reported assets of $650,000 and liabilities of $220,000 (thus stockholders' equity was $430,000). The fair value of Old Master's assets is estimated to be $840,000. Included in the assets is the Old Master trade name with a fair value of $6,000 and a copyright on some instructional books with a fair value of $52,800. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Show Transcribed Text Trade Names Prepare the intangible assets section of Skysong Golf Inc. at December 31, 2024. Copyrights Goodwill 3 Total Intangible Assets c SKYSONG GOLF INC. Intangibles Section of Balance Sheet For the Month Ended December 31, 2024 How much amortization expense is included in Skysong income for the year ended December 31, 2024?

Skysong Golf Inc. was formed on July 1, 2024, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $810,000 cash for Old Master. At the time, Old Master's balance sheet reported assets of $650,000 and liabilities of $220,000 (thus stockholders' equity was $430,000). The fair value of Old Master's assets is estimated to be $840,000. Included in the assets is the Old Master trade name with a fair value of $6,000 and a copyright on some instructional books with a fair value of $52,800. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Show Transcribed Text Trade Names Prepare the intangible assets section of Skysong Golf Inc. at December 31, 2024. Copyrights Goodwill 3 Total Intangible Assets c SKYSONG GOLF INC. Intangibles Section of Balance Sheet For the Month Ended December 31, 2024 How much amortization expense is included in Skysong income for the year ended December 31, 2024?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Larkspur Golf Inc. was formed on July 1, 2024, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $780,000 cash for Old Master. At the time, Old Master's balance sheet reported assets of $630,000 and liabilities of $210,000 (thus stockholders' equity was $420,000). The fair value of Old Master's assets is estimated to be $820,000. Included in the assets is the Old Master trade name with a fair value of $8,000 and a copyright on some instructional books with a fair value of $43,200. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. (a) Your answer is correct. Prepare the intangible assets section of Larkspur Golf Inc. at December 31, 2024. Trade Names Copyrights Goodwill Total Intangible Assets Amortization…
Skysong Golf Inc. was formed on July 1, 2019, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $810,000 cash for Old Master. At the time, Old Master’s balance sheet reported assets of $650,000 and liabilities of $220,000 (thus owners’ equity was $430,000). The fair value of Old Master’s assets is estimated to be $840,000. Included in the assets is the Old Master trade name with a fair value of $6,000 and a copyright on some instructional books with a fair value of $52,800. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years.
Skysong Golf Inc. was formed on July 1, 2019, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $830,000 cash for Old Master. At the time, Old Master’s balance sheet reported assets of $670,000 and liabilities of $180,000 (thus owners’ equity was $490,000). The fair value of Old Master’s assets is estimated to be $820,000. Included in the assets is the Old Master trade name with a fair value of $11,000 and a copyright on some instructional books with a fair value of $19,200. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Prepare the intangible assets section of Skysong Golf Inc. at December 31, 2019. Prepare the amoritzation expense for 2020.
Larkspur Golf Inc. was formed on July 1, 2019, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $770,000 cash for Old Master. At the time, Old Master’s balance sheet reported assets of $670,000 and liabilities of $210,000 (thus owners’ equity was $460,000). The fair value of Old Master’s assets is estimated to be $800,000. Included in the assets is the Old Master trade name with a fair value of $12,000 and a copyright on some instructional books with a fair value of $43,200. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Prepare the journal entry to record amortization expense for 2020. Prepare the intangible assets section of Larkspur Golf Inc. at December 31, 2020. (No impairments are required to be…
Larkspur Golf Inc. was formed on July 1, 2019, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $770,000 cash for Old Master. At the time, Old Master’s balance sheet reported assets of $670,000 and liabilities of $210,000 (thus owners’ equity was $460,000). The fair value of Old Master’s assets is estimated to be $800,000. Included in the assets is the Old Master trade name with a fair value of $12,000 and a copyright on some instructional books with a fair value of $43,200. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Prepare the intangible assets section of Larkspur Golf Inc. at December 31, 2019.
Prepare the journal entry to record amortization expense for 2020. Prepare the intangible assets section of Teal Mountain Golf Inc. at December 31, 2020. (No impairments are required to be recorded in 2020.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation TEAL MOUNTAIN GOLF INC. Intangibles Section of Balance Sheet Debit $ Credit
Prepare the journal entry to record amortization expense for 2020. Prepare the intangible assets section of Teal Mountain Golf Inc. at December 31, 2020. (No impairments are required to be recorded in 2020.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation TEAL MOUNTAIN GOLF INC. Intangibles Section of Balance Sheet Debit $ Credit
Montana Matt's Golf Inc. was formed on July 1, 2019, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instruction at kiosks in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $770,000 cash for Old Master. At the time, Old Master's balance sheet reported assets of $650,000 and liabilities of $200,000 (thus owners' equity was $450,000). The fair value of Old Master's assets is estimated to be $800,000. Included in the assets is the Old Master trade name with a fair value of $10,000 and a copyright on some instructional books with a fair value of $24,000. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Instructions a. Prepare the intangible assets section of Montana Matt's Golf Inc. at December 31, 2019. How much amortization expense is included in Montana Matt's income for…
Ken Young and Kim Sherwood organized Reader Direct as a corporation; each contributed $52,675 cash to start the business and received 4,300 shares. The store completed its first year of operations on December 31, 2020. On that date, the following financial items for the year were determined: cash on hand and in the bank, $49,150, amounts due from customers from sales of books, $28,850, property and equipment, $54,750, amounts owed to publishers for books purchased, $8,900; one-year note payable to a local bank for $4,200. No dividends were declared or paid to the shareholders during the year. Required: 1. Complete the balance sheet at December 31, 2020: Total assets Assets READER DIRECT Balance Sheet At December 31, 2020 $ Total liabilities Liabilities Shareholders' equity Total shareholders equity 0 Total llabilities & shareholders' equity $ 0 0
A7X Ltd. is a guitar manufacturing, repair, and retail business. A7X Ltd. engaged in the following transactions during November 2020: Nov 5 Issued new shares to the owner for $20,000 cash. Nov 8 Sold two “ZV Custom” guitars in store to a customer on account at a price of $3,000 each. Nov 12 Collected a $50,000 advance payment from a customer for repairs to be completed in December. Nov 15 Purchased a new piece of woodworking equipment for $12,000 by signing a promissory note. Nov 27 Collected $6,000 cash from the customer who bought the guitars on Nov 8. Nov 28 Promised a supplier, Schecter Guitars, that A7X Ltd. would order 50 guitars for $800 each in December. Required: For each of the above activities, indicate the appropriate journal entry that the company should record at the given dates, or, if applicable, indicate if no journal entry should be recorded. Nov 5: Nov 8: Nov 12: Nov 15:…
In June 2021, Wanda Fonda organized a corporation to provide drone photography services. Thecompany, called Drone Queen Inc., began operations immediately. Transactions during the month ofJune were as follows:June 1 The corporation issued 60,000 shares of capital stock to Wanda Fonda in exchange for$60,000 cash.June 2 Purchased a plane from Utility Aircraft for $220,000. Made a $40,000 cash downpayment and issued a note payable for the remaining balance.June 4 Paid Piarco Airport $2,500 to rent office and hangar space for the month.June 15 Billed customers $8,320 for aerial photographs taken during the first half of June.June 15 Paid $5,880 in salaries earned by employees during the first half of June.June 18 Paid Henry's Hangar $1,890 for maintenance and repair services on the companyplane.June 25 Collected $4,910 of the amounts billed to customers on June 15.June 30 Billed customers $16,450 for aerial photographs taken during the second half of themonth.June 30 Paid $6,000 in…
Ken Young and Kim Sherwood organized Reader Direct as a corporation; each contributed $46,000 cash to start the business and received 4,000 shares of stock. The store completed its first year of operations on December 31, 2020. On that date, the following financial items for the year were determined: cash on hand and in the bank, $41,500; amounts due from customers from sales of books, $27,600; equipment, $45,000; amounts owed to publishers for books purchased, $8,100; one-year notes payable to a local bank for $3,900. No dividends were declared or paid to the stockholders during the year. 2. Using the retained earnings equation and an openind balance of $0, work backwards to compute the amount of net income for the year ended December 31, 2020. Net Income = Ending RE + Dividends-Beginning RE