Mango Co. purchased a patent at the beginning of 2022. The patent cost $66,000 and has a six year life. What is the adjusting entry?
Q: On January 1, 2021, Weaver Corporation purchased a patent for $237,000. The remaining legal life is…
A: Intangible Assets: Intangible assets are the long-term assets having no physical existence.…
Q: 16. Logan Corporation purchased a patent for $60,000 on 1-1-2023. The patent has a 5 year remaining…
A: The amortization expense is charged on fixed assets as reduction in the value of the intangible…
Q: net of accumulated amortization,
A: Change in accounting estimate is actually the prospective restatement of financial estimate on…
Q: On January 1, 2021, The Donut Stop purchased a patent for $84,000. At that time, the remaining legal…
A: Intangible assets are the assets that does have a physical existence. Patents, copyrights, and…
Q: A patent was purchased on January 2, 2018, for $91,000 when the remaining legal life was 16 years.…
A: Intangible assets are non-physical assets that have no inherent value and cannot be touched or seen.…
Q: Jill bought a patent from GIA Company on January 01,2021 for P90,000 with remaining life of 15 years…
A: Patents are a type of intangible asset that the business is having. It can not be seen. It can only…
Q: Prepare the journal entries and any year end adjusting entry (ies) related to the patent during…
A: Intangible Assets-An intangible asset is not physical. Since intangible assets have no shape or…
Q: Please answer this question with brief solution. I need the answer ASAP thank you!
A: Depreciation is a cost charged over the fixed assets for over a period of time. Fixed Assets are the…
Q: Martinez Industries Ltd. acquired two copyrights during 2023. One copyright was on a textbook that…
A: Intangible asset is one of the types of assets which have no physical substance. It includes…
Q: Blue Corporation purchased a special tractor on December 31, 2020. The purchase agreement stipulated…
A: Down payment for purchase of special tractor $21,390 Annual Payment at the end of the year…
Q: On January 2, 2022, Sharukh Software Development Company purchased a patent for $60,000. The patent…
A: Amortization Expense -Amortization Expense is entered to record the spread over the cost of…
Q: Troy Aikman Corporation purchased a patent from Salmon Company on Jaunary 1, 2017, for $54,000. The…
A: Journal entries refer to the recording of transactions in an appropriate way. With the help of…
Q: 1. The corporation purchased a patent on May 1, 2019 for P216,000. On this date, the patent has a…
A: The amount paid to settle as infringements suit is to maintain the flow and economies benefit from…
Q: On January 1, 2024, Lanny, Inc. purchased a copyright for $410,000 cash. The copyright is expected…
A: The Copyright is an intangible assets. Hence, will be amortized over the useful life of the assets.…
Q: On January 1, 20x1, T Co. purchase a patent from B Inc. for P500,000. Blue has held this patent for…
A: The patent is a non-tangible asset of the company that is amortized every year.
Q: A company buys a Platform for $800,000 on January 1, 2019. The e of the rig is 10 years and the…
A:
Q: On January 1, 2019, Sandhill Corp. purchased a trademark for $352950, which had an estimated useful…
A: Amortization is the gradual allocation of the cost of an asset over its estimated useful life. A…
Q: Sunland Company purchases a patent for $146.800 cash on January 2, 2024. Its legal life is 20 years…
A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…
Q: Prepare journal entries related to the patent for 2021, 2022, and 2023
A: Fundamental accounting records called journal entries are used to record and track financial…
Q: BE12-2 (L01,2) Use the information provided in BE12-1. Assume that at January 1, 2019, the carrying…
A: Cost incurred in successful defense of a patent if infringed during its economic life is…
Q: On January 2, 2024, David Corporation purchased a patent for $510,000. The remaining legal life is…
A: Fundamental accounting records called journal entries are used to record and track financial…
Q: A company acquires a patent for a drug with a remaining legal and useful life of six years on…
A: A patent is a form of intellectual property that gives the owner exclusive rights to make, use, and…
Q: 3. Celine Dion Corporation purchases a patent from Salmon
A: Solution: The journal entry to record the purchase of patent will be reported as: Particulars…
Q: On January 1, 2022, Rover, Inc. purchased a patent giving it exclusive rights to manufacture a new…
A: Amortization expenses of patent: Amortization expenses per year = (P240,000 / 8 years) = P30,000
Q: On September 1, 2015, Johnas, Inc. acquired a patent for $600,000. The patent has 16 years remaining…
A: Patents are intangible assets acquired as a right to use any formula, method or process. These are…
Q: Answer the questions asked about each of the factual situations. (Do not leave any answer field…
A: Depreciation means the loss in value of assets because of usage of assets , passage of time or…
Q: Oriale Industries has the following patents on its December 31, 2024, balance sheet Initial Cost…
A: Patents refer to the rights that one has on their unique invention and which restrict others from…
Q: 1. Pharoah purchased a patent from Vania Co. for $1,150,000 on January 1, 2023. The patent is being…
A: “Since you have posted multiple questions, we will provide the solution only to the first question…
Q: the unamortized portion of the patent on December 31, 2020, before adjustment for amortization in…
A: Amortization expense is quite similar to depreciation expense, however, depreciation takes place on…
Q: On September 1, 2019, Jordan, Inc. acquired a patent for $600,000. The patent has 16 years remaining…
A: Date Account Titles and Explanation Debit Credit Sep'1 Patent $6,00,000 Cash…
Q: A company purchases equipment for $40,000 on Aug 1, 2019. It estimates that the equipment will have…
A: Depreciation = Cost of equipment - Salvage value / Useful life of asset = $…
Q: year. Sage year-end is December 31. On April 1, 2023, Sage sold the patent to another company. (a)…
A: Patents are the intangible nature of assets which plays a vital role to build business. They are…
Q: Taylor Swift Corporation purchases a patent from Salmon Company on January 1, 2017, for $54,000. The…
A: Workings: Purchased patent on January 01, 2017 for $ 54000 useful life = 10 years.
Q: Sheridan Company from time to time embarks on a research program when a special project seems to…
A: The research and development cost incurred on a research product is expenses in the period it…
Q: 4. Blade Corporation spent P500,000 for R&D expenses to develop a patent which is registered on Jan.…
A: Amortization of Patent: Amortization of patent is same like straight-line depreciation calculations…
Q: Pina Corporation purchased a special tractor on December 31, 2020. The purchase agreement stipulated…
A: PRESENT VALUE Present Value is the Current Value of future Sum of Money. Present Value of Annual…
Q: On October 12, 2023, Simarov, Inc. purchases a Copyright to a song, written by a person who died on…
A: A copyright is a sort of intellectual property that protects original works of authorship as soon as…
Q: Indigo Corporation purchases a patent from Sandhill Company on January 1, 2020, for $54,000. The…
A: INTRODUCTION: The process of moving commercial transactions from journals to ledgers is known as…
Q: A company buys a Platform for $800,000 on January 1, 2019. The life of the rig is 10 years and the…
A: Dismantling cost is the cost which are to be incurred in connection with the restoration of the…
Q: Abhijit Company leased equipment from Barua Corporation on July 1, 2024, for an 8-year period…
A: Introduction:A corporation can generate interest revenue in two ways: by lending money or by…
Q: Prepare the journal entries related to the patent from January 1, 2020 to December 31, 2022. Prepare…
A: An intangible asset is an non monetary asset with following three critical attributes:…
Q: On January 3, 2018, Sweet company bought a patent for P540,000. The estimated useful life of the…
A: Amortization of the Patent: Amortization of the Patent is the tactic in which the cost of the patent…
Q: How much is the amortization expense for the 2020 income statement assuming the defense was…
A: As per Ind As 38 Legal costs and other costs incurred in successful defending a patent suit should…
Q: During 2021, Grouper Corporation spent $152,640 in research and development costs. As a result, a…
A: Journal entries are made to record the transactions as the first process in the books of accounts…
Mango Co. purchased a patent at the beginning of 2022. The patent cost $66,000 and has a six year life.
What is the
AI-generated content may present inaccurate or offensive content that does not represent bartleby’s views.
Unlock instant AI solutions
Tap the button
to generate a solution
Click the button to generate
a solution
- On January 1, 2022, Proton, Inc. purchased a patent giving it exclusive rights to manufacture a new type of synthetic clothing for P240,000. While the patent had a remaining legal life of 15 years at the time of purchase, Proton expects the useful life to be only eight more years. In addition, Proton purchased equipment related to production of the new clothing for P140,000. The equipment has a physical life of 10 years but Proton plans to use the equipment only over the patent's service life and then sell it for an estimated P20,000. Proton uses straight-line for all long-term assets. The amount charged to expense in 2022 related to the patent and equipment should be: O P40,000. P31,000. O P38,000. O P45,000.9Please see below. Need this asap please and thank you. I need help with the correct word to put in the second blank under Amortization expense. Note that Accumulated Amortization does not come up when typed in the box.
- ylor Swift Corporation purchases a patent from Salmon Company on January 1, 2020, for $54,000. The patent has a remaining legal life of 16 years. Taylor Swift feels the patent will be useful for 10 years. Prepare Taylor Swift's journal entries to record the purchase of the patent and 2020 amortization.Carla Vista Company purchases a patent for $147,200 cash on January 2, 2021. Its legal life is 20 years and its estimated useful life is 8 years. Record the purchase of the patent on January 2, 2021.During 2021, Grouper Corporation spent $152,640 in research and development costs. As a result, a new product called the New Age Piano was patented. The patent was obtained on October 1, 2021, and had a legal life of 20 years and a useful life of 10 years. Legal costs of $28,080 related to the patent were incurred as of October 1, 2021. (a) Your answer is partially correct. Prepare all journal entries required in 2021 and 2022 as a result of the transactions above. (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. List all debit entries before credit entries. Record entries in the order displayed in the problem statement.) Date 2021 2021 2021 Account Titles and Explanation Research and Development Expense Cash (To record research and development expenses) Legal Fees Expense Cash (To record legal expenses) Amortization Expense Debit 152640 28080…
- Getaway Inc. bought a machine on January 1, 2021 for $50,000. Getaway plans to keep the machine for 10 years. What is the machine's carrying value on June 30, 2023 assuming Gateway uses straight-line depreciation?Makati Inc. acquires a building on February 1, 2020 at a cost of 5,500,000. The building has an estimated useful life of 40 years and an estimated salvage value of 500,000. Question 1. What is the journal entry to record the purchase of building? Question 2. What is the adjusting entry on December 31 assuming the company prepares it's financial statements on this date . Question 3. What is the amount of expense to be recognized for 2020? Question 4. What is the book value of the building as of December 31,2020? Please answer it completely. Don't answer if you don't answer it completely. Thanks.Please answer, round off final answers to two decimal places
- 41 Reported in the ledger of Mayumi Company On December 31, 2017, is a Patent account with a balance of P120,000, and accumulated amortization of P 60,000. The Patent is being amortized for its useful life of eight years. On July 1, 2018, Mayumi spent P 30,000 to defend the patent against an infringement suit. On January 1, 2019, with the rapid change in technology, the company determined that the patent will be of no value to the company and that a loss on patent obsolescence has to be recognized.How much is the loss on patent obsolescence?1. A patent was acquired from another company on January 1, 2019, for $25,000.The useful life is 10 years. 2. On April 2, 2019, the company was successful in obtaining a patent. The legal fees paid to an outside law firm were $8,400. The development costs paid to engineers who were employees of Bishop were $75,000. The useful life is 10 years. 3. On July 1, 2019, Bishop acquired all the assets net of the liabilities of Fargo Company. The identifiable net assets' market values at the time of purchase totaled $100,000. Bishop acknowledged the superior earnings and loyal customer following of Fargo Company. Therefore, Bishop and Fargo agreed on a total purchase price of $145,000. Any goodwill arising from the purchase is not to be amortized. 4. On December 31, 2019, Bishop paid a consulting firm $17,000 to develop a trademark. In addition, legal fees paid in connection with the trademark were $3,000. Assume a useful life of 20 years. 5. On August 1, 2019, Bishop acquired intangible asset…1. Pharoah purchased a patent from Vania Co. for $2,700,000 on January 1, 2018. The patent is being amortized over its remaining legal life of 10 years, expiring on January 1, 2028. During 2020, Pharoah determined that the economic benefits of the patent would not last longer than 7 years from the date of acquisition. What amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2020? The amount to be reported 2$ 2. Pharoah bought a franchise from Alexander Co. on January 1, 2019, for $979,000. The carrying amount of the franchise on Alexander's books on January 1, 2019, was $635,000. The franchise agreement had an estimated useful life of 20 years. Because Pharoah must enter a competitive bidding at the end of 2028, it is unlikely that the franchise will be retained beyond 2028. What amount should be amortized for the year ended December 31, 2020? The amount to be amortized 3. On January 1, 2020, Pharoah incurred organization…
