Question: Scientific Genius Company had the following balances in its intangible

Scientific Genius Company had the following balances in its intangible assets accounts at the beginning of the year. The trademarks have a remaining useful life of 15 years, and the copyright has a remaining useful life of nine years.
Trademarks ........ $45,000
Copyrights ....... 36,000
Goodwill ......... 50,000
Transactions during the year are as follows:
a. At the beginning of the year, Scientific Genius filed for a new trademark. The costs totaled $30,000. Its useful life is estimated at 15 years.
b. Scientific Genius incurred R&D costs of $75,000 related to new product development. No new products have been identified.
c. Scientific Genius evaluated the goodwill for impairment and reduced its book value by $5,000.
d. Scientific Genius successfully defended one of its copyrights in court. Fees totaled $18,000.

Requirements
1. Show each of the transactions in the accounting equation, including any adjustments that would need to be made for the year-end financial statements.
2. Prepare the intangible assets section of the balance sheet at year end.



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  • CreatedSeptember 01, 2014
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