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Carla Vista Company, organized in 2024, has set up a single account for all intangible assets. The following summary discloses the debit entries that have been recorded during 2025. 1/2/25 Purchased patent (7-year life) 4/1/25 Purchase goodwill (indefinite life) 7/1/25 Purchased franchise with 10-year life; expiration date 7/1/35 8/1/25 Payment of copyright (5-year life) 9/1/25 Research and development costs $314,300 359,000 439,000 166,800 229,000 $1,508,100

Carla Vista Company, organized in 2024, has set up a single account for all intangible assets. The following summary discloses the debit entries that have been recorded during 2025. 1/2/25 Purchased patent (7-year life) 4/1/25 Purchase goodwill (indefinite life) 7/1/25 Purchased franchise with 10-year life; expiration date 7/1/35 8/1/25 Payment of copyright (5-year life) 9/1/25 Research and development costs $314,300 359,000 439,000 166,800 229,000 $1,508,100

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Oo.23.

Subject  :- Account 

Prepare the necessary entry to clear the Intangible Assets account and to set up separate accounts for distinct types of intangibles. (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) Account Titles and Explanation Patents Goodwill Franchises Copyrights Research and Development Expense Intangible Assets Account Titles and Explanation eTextbook and Media List of Accounts Save for Later Debit Debit 314300 359000 439000 Make the entry as of December 31, 2025, recording any necessary amortization. (Credit account titles are automatically indented amounts when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o fort List all debit entries before credit entries.) 166800 229000 Credit Credit 1508100 Attempts: 0 of 3 used Submit Answer
Transcribed Image Text:Prepare the necessary entry to clear the Intangible Assets account and to set up separate accounts for distinct types of intangibles. (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) Account Titles and Explanation Patents Goodwill Franchises Copyrights Research and Development Expense Intangible Assets Account Titles and Explanation eTextbook and Media List of Accounts Save for Later Debit Debit 314300 359000 439000 Make the entry as of December 31, 2025, recording any necessary amortization. (Credit account titles are automatically indented amounts when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o fort List all debit entries before credit entries.) 166800 229000 Credit Credit 1508100 Attempts: 0 of 3 used Submit Answer
Carla Vista Company, organized in 2024, has set up a single account for all intangible assets. The following summary discloses the debit entries that have been recorded during 2025. 1/2/25 Purchased patent (7-year life) 4/1/25 Purchase goodwill (indefinite life) 7/1/25 8/1/25 9/1/25 Purchased franchise with 10-year life; expiration date 7/1/35 Payment of copyright (5-year life) Research and development costs $314,300 359,000 439,000 166,800 229,000 $1,508,100
Transcribed Image Text:Carla Vista Company, organized in 2024, has set up a single account for all intangible assets. The following summary discloses the debit entries that have been recorded during 2025. 1/2/25 Purchased patent (7-year life) 4/1/25 Purchase goodwill (indefinite life) 7/1/25 8/1/25 9/1/25 Purchased franchise with 10-year life; expiration date 7/1/35 Payment of copyright (5-year life) Research and development costs $314,300 359,000 439,000 166,800 229,000 $1,508,100
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