DONT GIVE ANSWER IN IMAGE FORMAT As the recently appointed auditor for Blossom Corporation, you have been asked to examine selected accounts before the six-monthfinancial statements of June 30, 2020, are prepared. The controller for Blossom Corporation mentions that only one account is keptfor intangible assets. The entries in Intangible Assets since January 1, 2020, are as follows:INTANGIBLE ASSETSJan.45Feb. 11Apr. 30June 130Research costsLegal costs to obtain patentPayment of seven months' rent on property leased by Blossom (February to August)Proceeds from issue of common sharesPromotional expenses related to start-up of businessDevelopment stage costs (meet all six development stage criteria)Start-up costs for first six months of operationsDebit1,040,70054,00049,700155,000213,000324,000Credit334,500Prepare the entry or entries needed to correct this account. Assume that the patent and the development costs have a useful life of 10years and that Blossom Corporation follows IFRS. (Credit account titles are automatically indented when the amount is entered. Do notindent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round answers to O decimal placese.g. 5,275.)

Intangible asset has lack of physical presence but it can termed as monetary presence and it…

Prepare the entry or entries needed to correct this account. Assume that the patent and the development costs have a useful life of 10 years and that Blossom Corporation follows IFRS. (Credit account titles are automatically indented when the amount is entered. Do not indent manually If no ontruic required colect "No Entre" for the titles and ontor for the ste Round. to decimal place

Prepare the entry or entries needed to correct this account. Assume that the patent and the development costs have a useful life of 10 years and that Blossom Corporation follows IFRS. (Credit account titles are automatically indented when the amount is entered. Do not indent manually If no ontruic required colect "No Entre" for the titles and ontor for the ste Round. to decimal place

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter12: Intangibles

Section: Chapter Questions

Problem 8P

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