Gone & Gone have a Patent that has a value on the books of $22,000. Journalize the sale of the patent for $19,000.

On June 1, 2024, Tech Company purchased a patent for $252,000 cash. Although the patent gives legal protection for 20 years, the patent is expected to be used for only six years. Read the requirements. Requirement 1. Journalize the purchase of the patent. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Credit Date Accounts and Explanation Debit June 1 Requirements 1. Journalize the purchase of the patent. 2. Journalize the amortization expense for the year ended December 31, 2024. Assume straight-line amortization. Print Done X

Prepare all journal entries and adjusting journal entries necessary to record the information below for year 2022: On November 15, 2022, WTG purchased a patent for $49,500. It used an installment loan to purchase the patent. Payments are due on May 15 and November 15 of every year (so the first payment is due May 15 next year) for the next 5 years. The interest rate is 7%. See amortization table below: ■ Patent Loan Amortization Principal Interest Years Payments/year Payment Date 5/15/23 11/15/23 5/15/24 11/15/24 5/15/25 11/15/25 5/15/26 11/15/26 5/15/27 11/15/27 $49,500 7% 5 2 5,952 Interest Principal Payment Balance 49,500 5,952 45,281 5,952 40,913 5,952 36,393 5,952 5,952 5,952 5,952 5,952 5,952 5,952 1,733 4,219 1,585 4,367 4,520 4,678 4,842 941 5,011 765 5,187 584 5,368 396 5,556 201 5,751 1,432 1,274 1,110 31,715 26,873 21,862 16,675 11,307 5,751 0

Sky Co., organized in 2020, provided you with the following information. 1. Purchased a license for $20,000 on July 1, 2020. The license gives Sky exclusive rights to sell its services in the tri-state region and will expire on July 1, 2028. 2. Purchased a patent on January 2, 2021, for $40,000. It is estimated to have a 5-year life. 3. Costs incurred to develop an exclusive Internet connection process as of June 1, 2021, were $45,000. The process has an indefinite life. 4. On April 1, 2021, Sky purchased a small circuit board manufacturer for $350,000. Goodwill recorded in the transaction was $90,000. 5. On July 1, 2021, legal fees for successful defense of the patent purchased on January 2, 2021, were $11,400. 6. Research and development costs incurred as of September 1, 2021, were $75,000. Instructions a. Prepare the journal entries to record all the entries related to the patent during 2021. b. At December 31, 2021, an impairment test is performed on the license purchased in…

Steele Corp. purchases equipment for $20,000. Regarding the purchase, Steele recorded the following transactions: • Paid shipping of $800. • Paid installation fees of $1,600. Pays annual maintenance cost of $240. • Received a 5% discount on $20,000 sales price. Determine the acquisition cost of the equipment.

On June 1, 2020 Comfort Creamery Corp. purchased 9,000 wooden barrels on account for $900,000 (purchase price of $100/barrel). The terms of the purchase were 2/10, n/30. Comfort Creamery Corp. accounts for such purchases using the net method. Required: 1. Prepare the journal entry to record the purchase of 9,000 wooden barrels. 2. Comfort Creamery Corp. paid for the barrels on June 17, 2020. Prepare the journal entry to record the payment for the 9,000 wooden barrels.

Steele Corp. purchases equipment for $23,000. Regarding the purchase, Steele recorded the following transactions: • Paid shipping of $800. • Paid installation fees of $1,600. • Pays annual maintenance cost of $220. • Received a 5% discount on $23,000 sales price. Determine the acquisition cost of the equipment. $fill in the blank 1

Post Company purchased a patent on January 1, 200X for $50,000. The patent has a useful life of 10 years. The accounting entry to record the patent amortization expense for the first year would be: Debit patent $5,000; credit accounts payable $5,000. Debit patent amortization expense $5,000; credit patent $5,000. Debit patent $50,000; credit accounts payable $50,000. Debit patent amortization expense $50,000; credit patent $50,000.

Steele Corp. purchases equipment for $20,000. Regarding the purchase, Steele recorded the following transactions: • Paid shipping of $900. • Paid installation fees of $1,800. • Pays annual maintenance cost of $280. • Received a 5% discount on $20,000 sales price. Determine the acquisition cost of the equipment.

CP, Inc.. purchases a patent on January 1, 20X1, for $40,000 and the patent has an expected useful life of five years with no residual value.  Assuming CP. uses the straight-line method, what is the carrying value of the patent on December 31, 20X2?