Provide the 2020 adjusting journal entry (both accounts and amounts) that Newell Brands made to record amortization on its finite-lived Intangible Assets. Assume that Newell Brands makes one adjusting journal entry for amortization expense at the end of each fiscal year as part of its adjusting entries **1.1. Description of Business**Newell Brands is a global consumer goods company with a diverse portfolio of renowned brands, including Rubbermaid®, Paper Mate®, Sharpie®, Dymo®, EXPO®, Parker®, Elmer’s®, Coleman®, Marmot®, Oster®, Sunbeam®, FoodSaver®, Mr. Coffee®, Rubbermaid Commercial Products®, Graco®, Baby Jogger®, NUK®, Calphalon®, Contigo®, First Alert®, Mapa®, Spontex®, and Yankee Candle®. The company focuses on providing planet-friendly, innovative, and attractive products that bring joy and peace of mind to consumers globally. Newell Brands operates in nearly 200 countries worldwide, with direct operations in over 40 of these nations, not accounting for third-party distributors.**6. Property, Plant, and Equipment**Property, plant, and equipment are recorded at their original cost. Maintenance and repair costs are recorded as incurred. Depreciation is primarily calculated using the straight-line method, with useful lives assigned as follows: buildings and improvements (20-40 years), and machinery and equipment (3-15 years). Depreciation expenses were $200 million in 2020 and $254 million in 2019.A detailed table shows property and equipment figures in millions:- **Land**: $86 in both 2020 and 2019.- **Buildings and improvements**: $664 in 2020 and $641 in 2019.- **Machinery and equipment**: $2,314 in 2020 and $2,151 in 2019.Total property, plant, and equipment are valued at $3,064 in 2020 and $2,878 in 2019. Accumulated depreciation is $(1,888) for 2020 and $(1,723) for 2019, resulting in net property, plant, and equipment values of $1,176 in 2020 and $1,155 in 2019.**7. Goodwill and Intangible Assets**Goodwill is evaluated annually for impairment at the reporting unit level. The company also checks for impairment when the fair value of a reporting unit may be less than its carrying amount. An impairment charge is recorded if the carrying value exceeds the fair value. Indefinite-lived intangible assets are similarly evaluated annually.The following table reflects goodwill activities for 2019 and 2020 in millions:- **Goodwill balance as of December 31, **Newell Brands Consolidated Balance Sheets (In millions of dollars)****As of Dec 31, 2020** | **As of Dec 31, 2019**---### ASSETS- **Cash and cash equivalents:** 2020: $981 2019: $349- **Accounts receivable, net:** 2020: $1,678 2019: $1,842- **Inventories:** 2020: $1,638 2019: $1,606- **Prepaid expenses and other current assets:** 2020: $331 2019: $313- **Total current assets:** 2020: $4,628 2019: $4,110- **Property, plant, and equipment, net:** 2020: $1,176 2019: $1,155- **Goodwill:** 2020: $3,553 2019: $3,709- **Other long-term assets:** 2020: $5,343 2019: $6,668- **Total assets:** 2020: $14,700 2019: $15,642---### LIABILITIES AND STOCKHOLDERS' EQUITY- **Accounts payable:** 2020: $1,526 2019: $1,102- **Wages payable:** 2020: $236 2019: $204- **Current portion of long-term debt:** 2020: $466 2019: $332- **Other current liabilities:** 2020: $1,393 2019: $1,340- **Total current liabilities:** 2020: $3,621 2019: $2,978- **Long-term debt:** 2020: $5,141 2019: $5,391- **Other noncurrent liabilities:** 2020: $2,038 2019: $2,277- **Total liabilities:** 2020: $10,

Newells Brands, Following details is provided in the question Amount in Millions Goodwill…

Provide the 2020 adjusting journal entry (both accounts and amounts) that Newell Brands made to record amortization on its finite-lived Intangible Assets. Assume that Newell Brands makes one adjusting journal entry for amortization expense at the end of each fiscal year as part of its adjusting entries

Provide the 2020 adjusting journal entry (both accounts and amounts) that Newell Brands made to record amortization on its finite-lived Intangible Assets. Assume that Newell Brands makes one adjusting journal entry for amortization expense at the end of each fiscal year as part of its adjusting entries

FINANCIAL ACCOUNTING

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ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Question

Provide the 2020 adjusting journal entry (both accounts and amounts) that Newell Brands made to record amortization on its finite-lived Intangible Assets. Assume that Newell Brands makes one adjusting journal entry for amortization expense at the end of each fiscal year as part of its adjusting entries

**1.1. Description of Business**

Newell Brands is a global consumer goods company with a diverse portfolio of renowned brands, including Rubbermaid®, Paper Mate®, Sharpie®, Dymo®, EXPO®, Parker®, Elmer’s®, Coleman®, Marmot®, Oster®, Sunbeam®, FoodSaver®, Mr. Coffee®, Rubbermaid Commercial Products®, Graco®, Baby Jogger®, NUK®, Calphalon®, Contigo®, First Alert®, Mapa®, Spontex®, and Yankee Candle®. The company focuses on providing planet-friendly, innovative, and attractive products that bring joy and peace of mind to consumers globally. Newell Brands operates in nearly 200 countries worldwide, with direct operations in over 40 of these nations, not accounting for third-party distributors.

**6. Property, Plant, and Equipment**

Property, plant, and equipment are recorded at their original cost. Maintenance and repair costs are recorded as incurred. Depreciation is primarily calculated using the straight-line method, with useful lives assigned as follows: buildings and improvements (20-40 years), and machinery and equipment (3-15 years). Depreciation expenses were $200 million in 2020 and $254 million in 2019.

A detailed table shows property and equipment figures in millions:

- **Land**: $86 in both 2020 and 2019.
- **Buildings and improvements**: $664 in 2020 and $641 in 2019.
- **Machinery and equipment**: $2,314 in 2020 and $2,151 in 2019.

Total property, plant, and equipment are valued at $3,064 in 2020 and $2,878 in 2019. Accumulated depreciation is $(1,888) for 2020 and $(1,723) for 2019, resulting in net property, plant, and equipment values of $1,176 in 2020 and $1,155 in 2019.

**7. Goodwill and Intangible Assets**

Goodwill is evaluated annually for impairment at the reporting unit level. The company also checks for impairment when the fair value of a reporting unit may be less than its carrying amount. An impairment charge is recorded if the carrying value exceeds the fair value. Indefinite-lived intangible assets are similarly evaluated annually.

The following table reflects goodwill activities for 2019 and 2020 in millions:

- **Goodwill balance as of December 31,

**Newell Brands Consolidated Balance Sheets (In millions of dollars)**

**As of Dec 31, 2020** | **As of Dec 31, 2019**

---

### ASSETS
- **Cash and cash equivalents:**
2020: $981
2019: $349

- **Accounts receivable, net:**
2020: $1,678
2019: $1,842

- **Inventories:**
2020: $1,638
2019: $1,606

- **Prepaid expenses and other current assets:**
2020: $331
2019: $313

- **Total current assets:**
2020: $4,628
2019: $4,110

- **Property, plant, and equipment, net:**
2020: $1,176
2019: $1,155

- **Goodwill:**
2020: $3,553
2019: $3,709

- **Other long-term assets:**
2020: $5,343
2019: $6,668

- **Total assets:**
2020: $14,700
2019: $15,642

---

### LIABILITIES AND STOCKHOLDERS' EQUITY

- **Accounts payable:**
2020: $1,526
2019: $1,102

- **Wages payable:**
2020: $236
2019: $204

- **Current portion of long-term debt:**
2020: $466
2019: $332

- **Other current liabilities:**
2020: $1,393
2019: $1,340

- **Total current liabilities:**
2020: $3,621
2019: $2,978

- **Long-term debt:**
2020: $5,141
2019: $5,391

- **Other noncurrent liabilities:**
2020: $2,038
2019: $2,277

- **Total liabilities:**
2020: $10,

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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