On Jan 1, 20X1, ABC Corp purchased a patent for P90,000. At the time of purchase the patent was valid for 15 years, however the patent's useful life was estimated to be only ten years due to the competitive nature of the product. How much is the amortization of patent at Dec 31, 20X1?
Q: Attributes that make financial information useful to the various users of financial statements. In…
A: Here discuss about the details of reliability, relevance and comparability of the information…
Q: How much expense should recognized in 2021?
A: The transportation expenses are the expenses are occurred during the delivery of the goods. This…
Q: Riding Corporation manufactures and sells electric cars. Expected sales and production (in units)…
A: Introduction: Units Sales: The overall sales of a product in a particular time are indicated by the…
Q: Problem 2-1A Preparing and posting journal entries; preparing a trial balance LO C3, C4, A1, P1, P2…
A: Introduction: Journal entry is primary recording of each and every transaction that has occurred in…
Q: 11. Jean and Dan both work. Each earns a salary of $48,500, but only Jean is a member of a…
A: Introduction: A Registered Retirement Savings Plan (RRSP) is a Canadian federal…
Q: (a) From a review of the information above identify the areas which you would concentrate on in your…
A: Student asked for multi sub part question we will solve for first three sub part question for you.…
Q: Brown Sporting Goods, inc. buys baseball at $10 per dozen from its wholesales. Brown buys 1,600…
A: economic order quantity is the point where there is minimum cost incurred for for purchasing the…
Q: Determine (a) the inventory turnover and (b) the number of days' sales in inventory. Round interim…
A: The inventory turnover ratio is the ratio that tells about the turnover of the inventory. It shows…
Q: Prior to recording adjusting entries, the Office Supplies account had a $390 debit balance. A…
A: At the end of every reporting period, generally every entity will physically verify the supplies and…
Q: Please help with final exam
A: The effective annual interest rate is the interest rate that is adjusted for compounding over a…
Q: (d) Guido is a manufacturing firm producing several products for the local market. The following…
A: Minimum Sales Revenue = (Target Profit+ Total Fixed Cost)/PV Ratio Given, Fixed Cost =£180,000…
Q: Friday for a five-day week ending on that day. The adjusting entry necessary at the Buster…
A: Introduction: The period ends on Tuesday, but the payout occurs on Friday, necessitating an…
Q: cash flow
A: Cash flows refer to the measurement of cash inflows and cash outflows in a company in a particular…
Q: How do auditors use technology to mitigate the challenge of the pandemic?
A: The pandemic disrupted many aspects of accounting. The impact was felt in the field of auditing as…
Q: The ledger of Mai Company includes the following accounts with normal balances as of December 31:…
A: A journal entry which is made to transfer the balances of the temporary accounts prepared during the…
Q: At the end of 2022, Carpenter Co. has accounts receivable of $700,000 and an allowance for doubtful…
A: When company is maintaining allowance for doubtful accounts balance,then at the time when it is sure…
Q: Which of the following is a TRUE statement
A: As per our guidelines and protocol we provide solution to the one question only and you have asked…
Q: Roc Corporation experienced the following transactions: • Borrowed $5,000 from the bank. ● Completed…
A: Introduction: In accrual system of accounting, all income and expenses which are related to the…
Q: Gross receipts from sales $ 670,000 Cost of goods sold (460,000) Operating expenses (96,800)…
A: Introduction: Ordinary income is defined as earned on a regular basis that is taxed at ordinary…
Q: Purchase-Related Transactions Using Perpetual Inventory System Instructions The following selected…
A: Journal Entries - Journal Entries are the recording of transactions of the organization. It is…
Q: the closing entries for the Oakville Journal. Use the year-end date December 31, 2 Oakville Journal…
A: The closing entries are prepared to close the temporary accounts of the business including revenue…
Q: 1. Directions Make a journal entry of Modern Laundry Centre using following the business…
A: Journal entry: The first step in accounting is a journal entry, which is used to record a business…
Q: 2015 Jan. 9 Purchased computer equipment at a cost of $9,000, signing a six-month, 7% note payable…
A: Journal entries: (No narrations given to the journal entries as mentioned in question) Date…
Q: A company had net sales of $570,000, total sales of $720,000, and average accounts receivable, net…
A: Accounts receivable ratio is calculated to know how efficiently the company collects its debts…
Q: he following are events or transactions for Sunshine Hotel completed in May 2022: May 1 Issued…
A: Journal entries record the business transactions . The journalized entries are then posted to the…
Q: Deleau Equipment Ltd. issued 11%, five-year bonds with a face value of $80,240,000 on October 1,…
A: Bonds payable is the liability for an entity. These are securities that are issued for the purpose…
Q: Journal entopes! 21 Sent a bill to R. Hernandez, P2, 500 for car service rendered at his wedding.…
A: There are three golden rules in accounting for recording the transaction : Debit what comes in ,…
Q: Kelani Brookstone, an accountant, owns her own business named KB Accounting Services. The following…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: Comment on the performance of Threads Limited from the viewpoint of a business considering supplying…
A: Comments on the performance of Threads Limited from the viewpoint of a business considering…
Q: Gross sales $150,000 Accounts receivable, beginning of year $18,000 Sales…
A: Accounts receivable is the amount owed to a corporation for goods or services delivered or used but…
Q: If the net realizable of an entity's inventories is less than its cost, the entry to adjust the…
A: Introduction: Under the lower of cost or net realizable value (LCNRV) method, if net selling price…
Q: If total liabilities decreased by $24,172 during a period of time and owner's equity increased by…
A: Changes in Assets= Liability Increase- Liability Decreased = 31776-24172 =7604
Q: What is activity base cost management?
A: The cost accounting is a process to manage the costs of current period by preparing budgets,…
Q: The following are the non-strategic investment transactions of Wiki Garden Tool Inc. Assume each…
A: Journal is the recording of financial transactions using dual entity concept and in chronological…
Q: Stewart Company exchanges an asset with Leonard Corporation. Details of the exchange are as follows:…
A: As per the accounting standard, when a Property, Plant & Equipment is exchanged for a…
Q: 5) Suppose that P5,000,000 is allocated for sales department, marketing department and advertising…
A: Hi student Since there are multiple questions, we will answer only first question.
Q: Kirsten believes her company's overhead costs are driven (affected) by the number of direct labor…
A: Earlier,Company was supposed to use absorption costing for calculating overhead rate.Now,Company can…
Q: Lonoca Engineering manufactures products for high precision engineering industry. It has two…
A: Given: Two Production departments- Assembling and Finishing Two support departments- Maintenance and…
Q: Required: a. His AGI is $104,000. b. His AGI is $442,000. c. His AGI is $422,300, and his daughters…
A: Joint tax filing means when both the husband and wife file their tax together. A tax credit means a…
Q: Which of the following statement is true about "Cumulative Stock Dividends in Arrears? Select all…
A: Cumulative stock dividend in arrears is dividend payable but not yet paid to preferred stock…
Q: Moss County Bank agrees to lend the Blossom Company $320000 on January 1. Blossom Company signs a…
A: Introduction: Journal: All he business transactions are to be recorded in Journals. Journals are…
Q: Shanghai Company sells glasses, fine china, and everyday dinnerware. It uses activity-based costing…
A: Basis activity based costing, the cost of activity for each product= Cost of activity per pound *…
Q: Create simple examples to illustrate the following concepts. i. Time value of money ii. Effective…
A: i) Time Value of Money: The concept of time value of money underlines that the value of money today…
Q: a) Calculate the break-even point in units and in sales dollars (in total and per product) for ABC.…
A: Break-even point is the number of units sold or sales to be achieved in order to have no profit or…
Q: On November 5, of the current year, Ligaya Merchandising Enterprise purchased merchandise with the…
A: The trade discount is not recorded in the books. It is just deducted from the list price to get the…
Q: Pablo Inc. owns 75% of Sammy Corp. and uses the Equity Method to account for its investment. Sammy…
A:
Q: View Policies Current Attempt in Progress On July 1, 2022, Blossom Co. pays $12.000 to Nash's…
A: Typically, a record is kept in the general ledger, but can also be kept in a separate account,…
Q: Crane Company manufactures equipment. Crane's products range from simple automated machinery to…
A: Journal entry: It is the first step of recording transactions of a company. Before this, no other…
Q: The following amounts appeared in the accounting records of XYZ Inc. for the year: Operating…
A: The net income is calculated as difference between sales and total costs incurred during the period.…
Q: no scans were conducted. Kristy Ross, an IMI co-founder and vice president, reviewed and edited the…
A: False advertising, also referred to as deceptive advertising, is a kind of marketing that confuses…
On Jan 1, 20X1, ABC Corp purchased a patent for P90,000. At the time of purchase the patent was valid for 15 years, however the patent's useful life was estimated to be only ten years due to the competitive nature of the product. How much is the amortization of patent at Dec 31, 20X1?
![](/static/compass_v2/shared-icons/check-mark.png)
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
- 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.On Jan 1, 20X1, ABC Corp purchased a patent for P90,000. At the time of purchase the patent was valid for 15 years. On Jan 1, 20X3, the patent's life was determined to be only 10 years because of the competitive nature of the product. What amount should ABC charge against revenue at Dec 31, 20X3?On January 1, Year 1, Stiller Company paid $192,000 to obtain a patent. Stiller expected to use the patent for 5 years before it became technologically obsolete. The remaining legal life of the patent was 8 years. Based on this information, what is the amount of amortization expense during Year 3 and the book value of the patent as of December 31, Year 3, respectively? Multiple Choice O $24,000 and $72,000 $24,000 and $120.000 $38,400 and $76,800 $38,400 and $115,200
- CP, Inc.. purchases a patent on January 1, 20X1, for $40,000 and the patent has an expected useful life of five years with no residual value. Assuming CP. uses the straight-line method, what is the carrying value of the patent on December 31, 20X2?On Jan 1, 20X1, ABC Corp purchased a patent for P90,000. At the time of purchase the patent was valid for 15 years, however the patent's useful life was estimated to be only ten years due to the competitive nature of the product. On Dec 31, 20X3, the product was permanently withdrawn from sale in the market due to its potential damage to environment. What amount should ABC charge against revenue at Dec 31, 20X3?On January 3, 2018, Sweet company bought a patent for P540,000. The estimated useful life of the patent is 8 years. During the year 2021, the company determined that the economic life of the patent is only 6 years from the date of acquisition. 1.)How much is the amortization expense for year 2021? 2.)What is the carrying value of the patent at December 31, 2021?
- ABC Co. purchased a patent on January 1, 2018 for P300,000. The patent was being amortized over its remaining legal life of 15 years. During 2020, ABC Co. determined that the economic benefits of the patent would not last longer than 10 years from the date of acquisition. What amount should be charged to patent amortization expense for the year ended December 31 2020?a. 32,500b. 26,000c. 20,000 d. 17,333 e. answer not givenOn January 1, 20x1, Entity A purchases a patent from Entity B for 300,000. Entity B, has helped the patent for 5 years. Entity A estimates that the patent has a remaining useful life of 16 years.How much is the annual ammortization expense?What is the carrying amount of the patent at December 31, 20x2?Show your solutions with explanation if possible.On January 1, 20x1, T Co. purchase a patent from B Inc. for P500,000. Blue has held this patent for 5 years. T estimates that the patent has a remaining useful life of eight years. How much is the patent amortization in 20x1? Please present in good accounting form.
- Ely Co. bought a patent from Backo Corp. on January 1, 20x4, for ₱180,000. An independent consultant retained by Ely estimated that the remaining useful life is 30 years. Its unamortized cost on Backo's accounting records was ₱90,000; the patent had been amortized for 5 years by Backo. How much should be amortized for the year ended December 31, 20x4? Question 10 options: a 0 b 3,000 c 6,000 d 12,000On January 1, 20X3, Enid Corporation purchased a patent from another company for $190,000. The estimated useful life of the patent is 10 years, and its remaining legal life is 15 years. The amortization expense for 20X3 is: Question 5 options: $12,667. $85,000. $68,000. $19,000.May I ask for help with this question? I got an answer of 37,500 (Rounded Up) Please check. On January 1, 20x1, M Co. incurred P500,000 in registering a patent. It was initially estimated that the useful life of the asset is 20 years, equal to its legal life. However, on January 1, 20x6, M assessed that the useful life of the patent was only 15 years starting on the date of registration. How much is the amortization expense in 20x6?