On January 1, 2016, Stiller Company paid $312,000 to obtain a patent Stiller expected to use the

Question:

On January 1, 2016, Stiller Company paid $312,000 to obtain a patent Stiller expected to use the patent for 5 years before it became technologically obsolete. The remaining legal life of the patent was 8 years. Based on this Information, the amount of amortization expense on the December 31, 2018 income statement and the book value of the patent on the December 31, 2018 would be:
$39,000/$117,000.
$62,400/$124,800.
$39,000/$195,000.
$62,400/$187,200.
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...