Marshall Company, organized in 2016, has set up a single account for all intangible assets . The

Question:

Marshall Company, organized in 2016, has set up a single account for all . The following summary discloses the debit entries that have been recorded during 2017.
1/2/17 Purchased patent (8-year life)............................................$ 350,000
4/1/17Purchase (indianite life)...........................................360,000
7/1/17Purchased franchise with 10-year life; expiration date 7/1/27..........450,000
8/1/17Payment of copyright (5-year life)..........................................156,000
9/1/17Research and development costs............................................215,000
$1,531,000
Instructions
Prepare the necessary entries to clear the account and to set up separate accounts for distinct types of intangibles. Make the entries as of December 31, 2017, recording any necessary amortization and reflecting all balances accurately as of that date. (Use straight-line amortization.)
Goodwill
Goodwill is an important concept and terminology in accounting which means good reputation. The word goodwill is used at various places in accounting but it is recognized only at the time of a business combination. There are generally two types of... Intangible Assets
An intangible asset is a resource controlled by an entity without physical substance. Unlike other assets, an intangible asset has no physical existence and you cannot touch it.Types of Intangible Assets and ExamplesSome examples are patented...