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. What is the carrying value of the patent at December 31, 2021?
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. What is the carrying value of the patent at December 31, 2021?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text: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. What is the carrying value of the patent at
December 31, 2021?
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