The following are selected 2022 transactions of Tamarisk Corporation. Jan. 1 Purchased a small company and recorded goodwill of $225,000. Its useful life is indefinite. April 1 Purchased for $136,000 a patent with an estimated useful life of 5 years and a legal life of 20 years. (a) Your answer is partially correct. Prepare necessary adjusting entries at December 31 to record amortization required by the events above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Dec. 31 Amortization Expense Patents (To record amortization expense for patents) Dec. 31 Goodwill Patents Debit 20400 340600 Credit 20400 340600

The following are selected 2022 transactions of Tamarisk Corporation. Jan. 1 Purchased a small company and recorded goodwill of $225,000. Its useful life is indefinite. April 1 Purchased for $136,000 a patent with an estimated useful life of 5 years and a legal life of 20 years. (a) Your answer is partially correct. Prepare necessary adjusting entries at December 31 to record amortization required by the events above. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Dec. 31 Amortization Expense Patents (To record amortization expense for patents) Dec. 31 Goodwill Patents Debit 20400 340600 Credit 20400 340600

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

Chapter14: Financing Liabilities: Bonds And Long-term Notes Payable

Section: Chapter Questions

Problem 11P

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