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On December 31, it was estimated that goodwill of $100,000 was impaired. In addition, a patent with an estimated useful

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On December 31, it was estimated that goodwill of $100,000 was impaired. In addition, a patent with an estimated useful economic life of 12 years was acquired for $450,000 on June 1.
a. Journalize the adjusting entry on December 31 for the impaired goodwill.
b. Journalize the adjusting entry on December 31 for the amortization of the patent rights.

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...

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Accounting

Accounting

ISBN: 978-0324401844

22nd Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac

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Question Posted: July 17, 2012 02:08:46
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