Make the entries as of December 31, 2022, recording any necessary amortization. (Credit account titles are automaticallyindented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the accounttitles and enter 0 for the amounts.)Account Titles and ExplanationDebitCreditAmortization Expense-FranchischPatentsFranchiseCopyrights Ivanhoe Company, organized in 2022, has these transactions related to intangible assets in that year:Jan.Purchased a patent (5-year life) $305,500.Apr.1.Goodwill purchased (indefinite life) $338,400.JulyAcquired a 9-year franchise; expiration date July 1, 2031, $676,800.Sept. 1Research and development costs $173,900.

Patent Amortization for year 2022 = $305500/5 =$61100 Franchise Amortization for 6 months (July 1st…

Ivanhoe Company, organized in 2022, has these transactions related to intangible assets in that year: Jan. Purchased a patent (5-year life) $305,500. Apr. Goodwill purchased (indefinite life) $338,400. July 1. Acquired a 9-year franchise; expiration date July 1, 2031, $676,800. Sept. 1 Research and development costs $173,900.

Ivanhoe Company, organized in 2022, has these transactions related to intangible assets in that year: Jan. Purchased a patent (5-year life) $305,500. Apr. Goodwill purchased (indefinite life) $338,400. July 1. Acquired a 9-year franchise; expiration date July 1, 2031, $676,800. Sept. 1 Research and development costs $173,900.

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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