Recording Amortization Dovetail Technologies Company acquired patent rights on January 6, 2015, for $2,265,000. The patent has a useful life of 14 years. On January 7, 20Y6, Dovetail Technologies successfully defended the patent in a lawsuit at a cost of $283,125. a. Determine the patent amortization expense for the current year ended December 31, 2016. If required, round your answer to nearest whole value. b. lllustrate the effects on the accounts and financial statements to recognize the amortization. For decreases in accounts or outflows of cash, enter your answers as negati numbers. If no account or activity is affected, select "No effect" from the dropdown and leave the corresponding number entry box blank. Round your final answer to the nearest whole dollar. Financial Statement Effects Dec. 31. Assets Statement of Cash Flows Balance Sheet - Liabilities - + Stockholders' Equity + Income Statement

Recording Amortization Dovetail Technologies Company acquired patent rights on January 6, 2015, for $2,265,000. The patent has a useful life of 14 years. On January 7, 20Y6, Dovetail Technologies successfully defended the patent in a lawsuit at a cost of $283,125. a. Determine the patent amortization expense for the current year ended December 31, 2016. If required, round your answer to nearest whole value. b. lllustrate the effects on the accounts and financial statements to recognize the amortization. For decreases in accounts or outflows of cash, enter your answers as negati numbers. If no account or activity is affected, select "No effect" from the dropdown and leave the corresponding number entry box blank. Round your final answer to the nearest whole dollar. Financial Statement Effects Dec. 31. Assets Statement of Cash Flows Balance Sheet - Liabilities - + Stockholders' Equity + Income Statement

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Required journal entry
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Please answer, round off final answers to two decimal places
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