Midtown Telecom, a communication service provider in Iowa, Nebraska, the Dakotas, and Montana had the following transactions related to its intangibles during the year:

Requirements 

1. Journalize the entries to record Midtown Telecom’s transactions during the year.
2. What special asset does Midtown Telecom’s acquisition of Samson Wireless identify?
How should Midtown Telecom account for this asset after acquiring Midtown Wireless? Explain in detail.

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Feb. 13 Apr. 1 Oct. 1 Dec. 31 Midtown Telecom purchased Samson Wireless Enterprises for $480,000 cash plus a $720,000 note payable. Samson's book value of assets was $700,000. Samson's market value of assets and liabilities was $1,100,000 and $520,000, respectively. Paid $400,000 to acquire a patent. Midtown believes the patent's useful life will be 10 years. Paid $820,000 for the trademark, "Fast as Lightning," with a useful life of 20 years. Recorded amortization expense (separately) for the patent and trademark.