Don't use ai given answer accounting questions Apex Industries spent $75,000 on research and development and$40,000 on legal fees to secure a patent. The patent has a legal life of17 years but is expected to provide economic benefits for only 8 years.What amount should Apex record as Patent Amortization Expense inthe first year?a. $14,375b. $5,000c. $6,765d. $9,375

Step 1: Definition of Patent Amortization ExpensePatent amortization expense refers to the…

Answered: Apex Industries spent $75,000 on…

Principles of Accounting Volume 1

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Chapter11: Long-term Assets

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Problem 6EB: Calico Inc. purchased a patent on a new drug it created. The patent cost $12,000. The patent has a...

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Calico Inc. purchased a patent on a new drug. The patent cost $21,000. The patent has a life of twenty years, but Calico only expects to be able to sell the drug for fifteen years. Calculate the amortization expense and record the journal for the first-year expense.
For each of the following unrelated situations, calculate the annual amortization expense and prepare a journal entry to record the expense: A. A patent with a seventeen-year remaining legal life was purchased for $850,000. The patent will be usable for another six years. B. A patent was acquired on a new tablet. The cost of the patent itself was only $12,000, but the market value of the patent is $150,000. The company expects to be able to use this patent for all twenty years of its life.
For each of the following unrelated situations, calculate the annual amortization expense and prepare a journal entry to record the expense: A. A patent with a ten-year remaining legal life was purchased for $300,000. The patent will be usable for another eight years. B. A patent was acquired on a new smartphone. The cost of the patent itself was only $24,000, but the market value of the patent is $600,000. The company expects to be able to use this patent for all twenty years of its life.
Calico Inc. purchased a patent on a new drug. The patent cost $28,500. The patent has a life of 20 years, but Calico only expects to be able to sell the drug for 15 years. A. Calculate the amortization expense. $? B. Record the journal for the first-year expense. If an amount box does not require an entry, leave it blank.
The Befort Company field for a patent on a new type of machine. The application costs totaled P12,000. R&D costs incurred to create the machine were P75,000. In the year in which the company filed for and received the patent, it spent P20,000 in the successfuldefense of a patent infringement suit. Required1. At what amount should the company capitalize the patent?2. How would you determine the economic life of the patent?
Using the following unrelated situations. A. A patent with a 12-year remaining legal life was purchased for $360,000. The patent will be usable for another 10 years. B. A patent was acquired on a new smartphone. The cost of the patent itself was only $24,000, but the market value of the patent is $700,000. The company expects to be able to use this patent for all 16 years of its life. Calculate the annual amortization expense. A. $ B. $ Prepare a journal entry to record the expense. If an amount box does not require an entry, leave it blank. А. Previous 00 B.
Using the following unrelated situations. A. A patent with a 10-year remaining legal life was purchased for $280,000. The patent will be usable for another 8 years. B. A patent was acquired on a new smartphone. The cost of the patent itself was only $38,000, but the market value of the patent is $600,000. The company expects to be able to use this patent for all 20 years of its life. Calculate the annual amortization expense. A. $ В. $ Prepare a journal entry to record the expense. If an amount box does not require an entry, leave it blank. A. В. 00
Using the following unrelated situations. A. A patent with a 10-year remaining legal life was purchased for $320,000. The patent will be usable for another 8 years. B. A patent was acquired on a new smartphone. The cost of the patent itself was only $31,200, but the market value of the patent is $650,000. The company expects to be able to use this patent for all 24 years of its life. Calculate the annual amortization expense. A. $fill in the blank 0845bf02e032f96_1 B. $fill in the blank 0845bf02e032f96_2 Prepare a journal entry to record the expense. If an amount box does not require an entry, leave it blank. A. fill in the blank fill in the blank fill in the blank fill in the blank B. fill in the blank fill in the blank fill in the blank fill in the blank
A company has purchased a machine (CCA rate 27 %) at $232,000 and has a tax rate of 38.00%. By how much will the NPV change if the company is able to obtain a $15,000 salvage value for its machine at the end of the project's life in Year 4? Assume a discount rate of 10.10% and that all else remains the same. a. $13,031 b. $10,208 c. - $2,823 d. $7,385 e. $10,852
Mm.1. Bethany incurred $60,000 in research and experimental costs for developing a specialized product during July 2022. Bethany went through a lot of trouble and spent $30,000 in legal fees to receive a patent for the product in August 2024. Bethany expects the patent to have a remaining useful life of 10 years. Note: Do not round intermediate calculations. b. How much patent amortization expense would Bethany deduct in 2024? c. If Bethany chose to capitalize but not amortize the research and experimental expenses she incurred in 2022, how much patent amortization expense would Bethany deduct in 2024?
A cutting edge metallic 3D printer is purchased by Helix Corp for $160000. It is expected to last 9 years and have a salvage value of $9500. It is considered a MACRS 7 year property. It will produce $84000 in net revenue each year during its life. Corporate income taxes are 0.30 and the after-tax MARR is 0.08. What is the PW of the CFAT for year 2? Your Answer: Answer
ABC Corp acquired an equipment with an invoice price of P2,500,000 with terms of 3/30, n/65. Installation cost is P50,000. Decommissioning cost is P200,000. Expected useful life is 10 years and effective rate was 12% How much is the initial cost of the equipment? 2,550,000 2,539,395 2,614,395 2,750,000

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