Presented below is information related to a copyright owned by Music Company at December 31, 2022. Cost of copyright acquired on 1 January 2014 $8,600,000 Recoverable amount at December 31, 2022 3,500,000 When the Music Company acquired the copyright in 2014, it estimated the useful life to be 20 years. Assume that Music Company will continue to use this copyright in the future. As of December 31, 2022, the copyright is estimated to have a remaining useful life of 10 years. Required (a) Prepare all the necessary journal entries at December 31, 2023. The company does not use accumulated amortization accounts. (b) The fair value of the copyright at December 31, 2023, is $3,700,000. prepare all the necessary journal entries at December 31, 2022.
Presented below is information related to a copyright owned by Music Company at December 31, 2022.
Cost of copyright acquired on 1 January 2014 $8,600,000 Recoverable amount at December 31, 2022 3,500,000
When the Music Company acquired the copyright in 2014, it estimated the useful life to be 20 years. Assume that Music Company will continue to use this copyright in the future. As of December 31, 2022, the copyright is estimated to have a remaining useful life of 10 years.
Required
(a) Prepare all the necessary
(b) The fair value of the copyright at December 31, 2023, is $3,700,000. prepare all the necessary journal entries at December 31, 2022..
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