The following information concerms the intangible assets of Epstein Corporation a On June 30, 2021, Epstein...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
The following information concerms the intangible assets of Epstein Corporation a On June 30, 2021, Epstein completed the acquisition of the Johnstone Corporation for $2.600,000 in cash. The fair value of the net identifiable assets of Johnstone was $2.200.000 b. Included in the assets purchased from Johnstone was a patent that was valued at $96,000 The remaining legal life of the patent was 13 years, but Epstein believes that the patent will only be useful for another eight years C Epstein acquired a franchise on October 1, 2021, by paying an initial franchise fee of S264,000. The contractual life of the franchise is 11 years Required: 1. Prepare year-end adjusting journal entries to record amortization expense on the intangibles at December 31.2021 2 Prepare the intangible asset section of the December 31. 2021 balance sneet Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare year-end adjusting journal entries to record amortization expense on the intangibies at December 31, 2021.Dio net roond ntermediate calculations) if ne nntry is required for a transacionevent, select "No jouma estiy required in the first account feid. View transactioe ist Journal entry worksheet 2. Record the amortization of patent. The following information concerms the intangible assets of Epstein Corporation a On June 30, 2021, Epstein completed the acquisition of the Johnstone Corporation for $2.600,000 in cash. The fair value of the net identifiable assets of Johnstone was $2.200.000 b. Included in the assets purchased from Johnstone was a patent that was valued at $96,000 The remaining legal life of the patent was 13 years, but Epstein believes that the patent will only be useful for another eight years C Epstein acquired a franchise on October 1, 2021, by paying an initial franchise fee of S264,000. The contractual life of the franchise is 11 years Required: 1. Prepare year-end adjusting journal entries to record amortization expense on the intangibles at December 31.2021 2 Prepare the intangible asset section of the December 31. 2021 balance sneet Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare year-end adjusting journal entries to record amortization expense on the intangibies at December 31, 2021.Dio net roond ntermediate calculations) if ne nntry is required for a transacionevent, select "No jouma estiy required in the first account feid. View transactioe ist Journal entry worksheet 2. Record the amortization of patent.
Expert Answer:
Answer rating: 100% (QA)
General Journal Debit Credit a No journal entry required b Amorti... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-1260481952
10th edition
Authors: J. David Spiceland, James Sepe , Mark Nelson, Wayne Thomas
Posted Date:
Students also viewed these accounting questions
-
The following three situations require adjusting journal entries to prepare financial statements as of April 30, 2014. For each situation, present the adjusting entry and the entry that would be made...
-
From the information in BE5-3, prepare the journal entries to record these transactions on Ikerd Companys books under a perpetual inventory system.
-
The following three separate situations require adjusting journal entries to prepare financial statements as of April 30. For each situation, present both the April 30 adjusting entry and the...
-
Consider a static (one-period), closed economy with one representative consumer, one rep- resentative firm, and a government. The level of capital K and government expenditures G in the economy are...
-
Determine the annual net cost of these checking accounts: a. Monthly fee $4, check-processing fee of 20 cents, average of 23 checks written per month b. Annual interest of 2.5 percent paid if balance...
-
Use the method of Section 3.3.2 to prove the following results: (a) sin 30 = 3 cos0 sin 0 sin0 (b) cos 80 = 128 cos0 - 256 cose + 160 cos0 - 32 cos0 + 1 (c) tan 50 = 5 tan 0 10 tan 0+ tan50 1-10 tan0...
-
Do the head-flowrate data shown in Fig. 12.7 appear to follow the similarity laws as expressed by Eqs. 12.39 and 12.40? Explain. Eq. 12.39 Eq. 12.40 (a) (b) Figure 12.7 (a) Open impeller, (b)...
-
H&Y Drug Corporation manufactures most of its three pharmaceutical products in India. Inventory balances for March and April follow. During April, purchases of direct materials, which include natural...
-
A company has established that the relationship between the sales price for one of its product and the quantity sold per month is approximately p = 75 - 0.1D units (D is the demand or quantity sold...
-
During December 2010, Amin Corp. manufactured products requiring 8,000 standard labor hours. The following variance and actual information is available: Labor rate variance ........ $4,500 U Labor...
-
1. Savvy Sisters, a high-end furniture production company, has purchased a new plat what period should our new plant be depreciated? The plant's estimated useful life is 40 years. Using a guidance...
-
Why need to calculate the Book value for Calculation of the Incremental Free Cash Flow? Explain briefly
-
What do users need to know about the accounting equation for a business?
-
What is test of control for recording revenue when goods have not been shipped or services have not been performed.
-
Why are Religious organizations are not discussed in not-for-profit accounting?
-
What is the difference between traditional and activity-based product margins are primarily caused by a company's unit-level activities.?
-
Which command creates a compressed archive of the / / dev directory and its subdirectories and names this archive dev.zip? 1 1 point zip / - / dev dev.zip zip - cf dev.zip / / dev zip - r dev.zip...
-
Write a function that reads a Float24_t value: Float24_t float24_read(void) A legitimate float24 value string is of the form: "mantissabexponent" where the mantissa (m) and the exponent (e) may have...
-
Horton Housewares' accounts receivable decreased during the year by $5 million. What is the amount of cash Horton received from customers during the reporting period if its sales were $33 million?...
-
Generally accepted accounting principles should be applied consistently from period to period. However, changes within a company, as well as changes in the external economic environment, may force a...
-
(This problem is a variation of P 125, modified to consider equity investments.) The following selected transactions relate to investment activities of Ornamental Insulation Corporation during 2021....
-
Verify that the log-likelihood of model (7.7) is \(\sum_{i=1}^{k}\left[n_{i} \lambda-\exp (\lambda) ight]\). (a) Compute MLE of \(\lambda\). (b) Compute the Pearson chi-square statistic and compare...
-
Think about the general concept of a relationship, not necessarily in a business setting, but just relationships in general between any two parties. What aspects of relationships are inherently...
-
Has transactional selling gone the way of the dinosaur? That is, are there ever any situations in which a transactional approach to selling would be an appropriate approach today? If so, what are...
Study smarter with the SolutionInn App