Instructions X Chart of Accounts ASSETS REVENUE Data related to the acquisition of timber rights and intangible assets during the current year ended December 31 are as follows: 110 Cash 410 Sales A. Timber rights on a tract of land were purchased for $1,762,820 on February 22. The stand of timber is estimated at 4,639,000 board feet. 111 Petty Cash 610 Interest Revenue During the current year, 1,068,200 board feet of timber were cut and sold. 112 Accounts Receivable 620 Gain on Sale of Vehicles 621 Gain on Sale of Equipment B. On December 31, the company determined that $4,015,000 of goodwill was impaired. C. Governmental and legal costs of S6,846,000 were incurred on April 3 in obtaining a patent with an estimated economic life of 10 years. 114 Interest Receivable 115 Notes Receivable 622 Gain on Sale of Timber Rights Amortization is to be for three-fourths of a year. 116 Merchandise Inventory 623 Gain from Sale of Goodwill 117 Supplies Required: 119 Prepaid Insurance EXPENSES 1. Determine the amount of the amortization, depletion, or impairment for the current year for each of the foregoing items. 120 Land 510 Cost of Merchandise Sold 2. Jourmalize the adjusting entries required to record the amortization, depletion, or impairment for esch item. Refer to the Chart of Accounts for 123 Vehicles 124 Accumulated Depreciation-Vehicles 520 Salaries Expense exact wording of account titles. 521 Advertising Expense 125 Equipment 522 Depreciation Expense-Vehicles 126 Accumulated Depreciation-Equipment 523 Delivery Expense Starting questions 130 Timber Rights 524 Repairs and Maintenance Expense 131 Accumulated Depletion 529 Selling Expenses 132 Goodwill 531 Rent Expense 1. Determine the amount of the amortization, depletion, or impairment for the current year for each of the items in the Instructions. 133 Patents 532 Depreciation Expense-Equipment 533 Depletion Expense A. LIABILITIES 534 Amortization Expense-Patents B. 210 Accounts Payable 535 Insurance Expense C. 211 Salaries Payable 536 Supplies Expense 213 Sales Tax Payable 214 Interest Payable 539 Miscellaneous Expense 710 Interest Expense 215 Notes Payable 720 Loss on Sale of Vehicles 721 Loss on Sale of Equipment EQUITY 722 Loss on Sale of Timber Rights 310 Common Stock 723 Loss from Impaired Goodwill 311 Retained Eamings 312 Dividends

Data related to the acquisition of timber rights and intangible assets during the current year ended December 31 are as follows: A. Timber rights on a tract of land were purchased for $3,461,120 on February 22. The stand of timber is estimated at 5,408,000 board feet. During the current year, 1,028,300 board feet of timber were cut and sold. B. On December 31, the company determined that $3,640,000 of goodwill was impaired. C. Governmental and legal costs of $6,108,000 were incurred on April 3 in obtaining a patent with an estimated economic life of 10 years. Amortization is to be for three-fourths of a year.   Required: 1. Determine the amount of the amortization, depletion, or impairment for the current year for each of the foregoing items. 2. Journalize the adjusting entries required to record the amortization, depletion, or impairment for each item. Refer to the Chart of Accounts for exact wording of account titles. CHART OF ACCOUNTSGeneral Ledger   ASSETS…

FASB recently issued a Proposed Accounting Standard Update on impairment for intangible assets.  What is the primary purpose for FASB to issue Proposed Accounting Standards Updates?

am. 122.

Demonstrate how the MACRS depreciation percentages are calculated by theIRS using the half-year convention?

Data related to the acquisition of timber rights and intangible assets during the current year ended December 31 are as follows:   a. On December 31, the company determined that $750,000 of goodwill was impaired.   b. Governmental and legal costs of $1,920,000 were incurred on September 30 in obtaining a patent with an estimated economic life of 12 years. Amortization is to be for one-fourth of a year.   c. Timber rights on a tract of land were purchased for $320,000 on February 4. The stand of timber is estimated at 2,000,000 board feet. During the current year, 500,000 board feet of timber were cut and sold.   Required:   1. Determine the amount of the amortization, depletion, or impairment for the current year for each of the foregoing items. Do not round your intermediate calculation.   Item Impairment, Amortization or Depletion Expense   a.   b.   C.   2. Journalize the adjusting entries to record the amortization, depletion, or impairment for each item. If an amount box does not…