.  If the patent has a remaining life of nine years, at what amount should the patent be reported on Mali's consolidated balance sheet at December 31, 2

Q: On January 1, 2021, Pine Company owns 40 percent (84,000 shares) of Seacrest, Inc., which it…

A: The question is based on the concept of Financial Accounting.

Q: On January 1, 2021, Pine Company owns 40 percent (140,000 shares) of Seacrest, Inc., which it…

A: The question is based on the concept of Financial Accounting. Equity method:   Common accounting…

Q: On January 1, 2020, Alison, Inc., paid $83,800 for a 40 percent interest in Holister Corporation's…

A: Investment is the process of generating income in the near future by investing in an asset which is…

Q: On January 1, 2020, Alison, Inc., paid $77,000 for a 40 percent interest in Holister Corporation’s…

A: Investment is the process of generating income in the near future by investing in an asset which is…

Q: On January 1, 2016, Guava Co. bought a patent for P270,000. Amortization is being made over its…

A: A patent seems to be a federally awarded privilege that allows an inventor to prevent others from…

Q: On January 1, 2018, Laica Company purchased a patent from an original patentee for P2,400,000. The…

A: Intangible Assets Example for Intangible assets are goodwill, patent, Trademark, copyright etc.…

Q: On January 1, 2020, Alison, Inc., paid $83,800 for a 40 percent interest in Holister Corporation’s…

A: Solution Common stock can be defined as securities that represent individuals ownership in a said…

Q: In January 2020, Domingo, Inc., acquired 20 percent of the outstanding common stock of Martes, Inc.,…

A: The question is based on the concept of financial accounting.

Q: On June 30, 2021, Epstein completed the acquisition of the Johnstone Corporation for $1,520,000 in…

A: Cost of goodwill = Acquisition costs - fair value of net identifiable costs = $1,520,000-1300000 =…

Q: On January 1, 2018, D, Incorporated, paid $88,959 for a 30% interest in S Corporation. This investee…

A: The Equity in income of S Inc. for 2019 is = $21120.

Q: On January 1, 2018, Joel Company purchased a patent for P7,140,000. The patent is being amortized…

A: As per IAS 8, Accounting policies,Changes in accounting estimates and errors A change in legal life…

Q: On January 1, 2021, Pine Company owns 40 percent (76,000 shares) of Seacrest, Ic., which it…

A: If a company have ownership in another company, its assets and liabilities are subject to…

Q: legal life of the patent is 15 years but the useful life is successfully defending the patent in an…

A: If a competing patent is acquired to protect an original patent. The cost of the new patent and the…

Q: January 1, 2020, Cecilia Company purchased a patent from an original patentee for P2,400,000. The…

A: If a competing patent is acquired to protect an original patent. The cost of the new patent and the…

Q: On January 1, 2020, Grand Haven, Inc., reports net assets of $843,200 although equipment (with a…

A: In business combination, when an asset is acquired  then it should be  measured at Fair value

Q: On January 1, 2008, Ryan Company purchased a patent for P7,140,000. The patent is being amortized…

A: Patents are intangible assets and these are to be amortised over the life of useful period. They are…

Q: On January 3, 2020, Gladstone Corporation purchased 30% of the outstanding voting common stock of…

A: In the equity method, we recognizes investment at cost.   In this method, the value of investment is…

Q: On January 1, 2023, Bertrand Incorporated paid $70,800 for a 40% interest in Chestnut Corporation's…

A: Income from an investment refers to the earnings or returns generated by holding an asset or…

Q: of acquisition. On January 1, 202 k, and one-fourth was for the ot tradom burinecs covered bu th

A: Intangible assets: - Intangible assets are those assets of the company which cannot be touched or…

Q: On January 1, 2007, Taft Co. purchased a patent for 714,000. The patent is being amortized over its…

A: Solution We are provided with the following information Cost of patent =  714,000 Amortization time…

Q: On January 1, 2020, Hand acquires 40% ownership of Foot.  At the acquisition date, Foot had…

A: Annual Depreciation (straight line method) = (Cost of the assets - Residual value) / Expected life…

Q: Ayayai Corporation purchases a patent from Blossom Company on January 1, 2025, for $63,000. The…

A: As per IFRS / IAS 38 Intangible assets, An intangible assets is an non monetary asset which doesn't…

Q: On January 2, 2024, Cole Inc. paid $100,000 for a 30% interest in Johnas Corp. This investee had…

A: For investors, equity income is crucial, especially for those looking for income-producing assets.…

Q: In January 2020, Domingo, Inc., acquired 20 percent of the outstanding common stock of Martes, Inc.,…

A: The equity method is a technique in accountancy that a firm uses to recognize earnings out of its…

Q: On January 1, 2024, Pine Company owns 40 percent (124,000 shares) of Seacrest, Incorporated, which…

A: Equity method: Equity method is the method used for accounting equity investments which claim a…

Q: Corn Snake Company purchased patent on January 1, 2019, for P3,570,000. The patent was being…

A: Assets is an important element of balance sheet of the business. There can be tangible assets or…

Q: Brazen Company purchased a patent on January 1, 2015 for P6,000,000. The original life of the…

A: Intangible assets with a limited useful life must be amortized over the asset's lifetime. Intangible…

Q: On January 3, 2018, Tracer Incorporated purchased a patent for $450,000 to manufacture a new type of…

A: Amortization is a process that lowers down the book value of the intangible asset.

Q: In January 2020, Domingo, Inc., acquired 20 percent of the outstanding common stock of Martes, Inc.,…

A: The equity method indicates determining the value of the investment by considering the income and…

Q: On January 1, 2018, Don Company purchased a patent from an original patentee for 2,400,000. The…

A: The patent is the intangible fixed asset and hence required tobe amortised as per…

Q: On January 1, 2016, Guava Co. bought a patent for P270,000. Amortization is being made over its…

A: Patent are the intangible asset which is purchased by the company on any new invention on technology…

Q: Presented below is selected information for Alatorre Company. 1. Alatorre purchased a patent from…

A: 1. Calculate the amount that should be reported in the balance sheet for the patent, net of…

Q: o. Assuming Alison uses the equity method, what balance should appear in the Investment in Holister…

A: Investment in any other company can be reported by using Equity method or fair value method.

Q: On January 1, 2017, Mae Company, an SME, purchased a patent for P7,140,000. The patent is being…

A: Patent is one of the intangible asset being held by the business. This type of assets can not be…

Q: In January 2020, Marcus, Inc., acquired 20 percent of the outstanding common stock of Lily, Inc.,…

A: The question is based on the concept of financial accounting.