On January 1, 2012, Weaver Corporation purchased a patent for $240,000. The remaining legal life is 20

Question:

On January 1, 2012, Weaver purchased a patent for $240,000. The remaining legal life is 20 years, but the company estimates the patent will be useful for only six more years. In January 2014, the company incurred legal fees of $60,000 in successfully defending a patent infringement suit. The successful defense did not change the company's estimate of useful life. Weaver Corporation's year-end is December 31.
Required:
1. Record the purchase in 2012; amortization in 2012; amortization in 2013; legal fees in 2014; and amortization in 2014.
2. What is the balance in the Patent account at the end of 2014?
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...