Business
Engineering
Math
Science
Social ScienceMarigold Corp., organized in 2020, has the following transactions related to intangible assets.1/2/20 Purchased patent (6-year life) $474,0004/1/20 Goodwill purchased (indefinite life) 360,0007/1/20 14-year franchise; expiration date 7/1/2034 588,0009/1/20 Research and development costs 166,000Calculate ending balances as at 12/31/20. Ending balancesPatents $enter the ending balance in dollars Goodwill $enter the ending balance in dollars Franchises $enter the ending balance in dollars Research and Development Expense $enter the ending balance in dollars
Marigold Corp., organized in 2020, has the following transactions related to intangible assets.
| 1/2/20 | Purchased patent (6-year life) | $474,000 | ||
| 4/1/20 | Goodwill purchased (indefinite life) | 360,000 | ||
| 7/1/20 | 14-year franchise; expiration date 7/1/2034 | 588,000 | ||
| 9/1/20 | Research and development costs | 166,000 |
Calculate ending balances as at 12/31/20.
|
Ending balances
|
||
|---|---|---|
|
Patents
|
$enter the ending balance in dollars | |
|
Goodwill
|
$enter the ending balance in dollars | |
|
Franchises
|
$enter the ending balance in dollars | |
|
Research and Development Expense
|
$enter the ending balance in dollars |
Expert Answer
A patent is the conceding of a right to the of a property by the government to the inventor.
Goodwill shows that a business has a utility past its really physical resources and liabilities.
Patents:
Amortization of patent= Cost ÷ Life in years
=$474,000 ÷ 6 yrs.
= $79,000
Ending bal. of patent on 12/31/20= Cost – Amortization
= $474,000 - $79,000
&nb...
Image Transcriptionclose
Cost 6 Amortization of patent= Life in years 12 $588,000 6 14 12 = $21,000
Business
Accounting
Related Accounting Q&A
Q: Where do we record retained earnings in a balance sheet?
A: Retained earnings refers to the amount of earnings that are not paid as dividends to the stockholder...
Q: Break-Even Sales Currently, the unit selling price of a product is $390, the unit variable cost is $...
A: Break even sales is the dollar amount of revenue at which a business earns a profit of zero i.e. No ...
Q: Number 3 City University uses a process cost system to accumulate costs incurred in handling student...
A: a. Compute the equivalent units of service for material and conversion costs:
Q: How do you find the date goods are received, last day of discount, and end of credit period when the...
A: Compute the date of goods received: The invoice is dated for November 27th. Hence, the goods are re...
Q: ) Provide an accurate, full and complete explanation and implication of the information presented in...
A: Click to see the answer
Q: Practice 3 : a) Explain the importance of incentive systems for motivating performance. b) I...
A: In order to achieve the goal of the company, the organization should provide compensation program dr...
Q: Dividing Partnership IncomeTyler Hawes and Piper Albright formed a partnership, investing $116,000 a...
A: The division of net income has been shown in above equation. Where the net income is divided in both...
Q: Explain how to calculate the after stock dividend to enter on the Balance Sheet. At the beginning of...
A: A Stock Dividend is the payment of dividends in the forms of shares of the company. In cash crunch s...
Q: Cost of Units Transferred Out and Ending Work in Process The costs per equivalent unit of direct mat...
A: Calculation of cost of completed and transferred-out production and inventory in process, ending:
