As a member of the audit team for the audit of BODYSHOTS COMPANY's financial statements for...

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As a member of the audit team for the audit of BODYSHOTS COMPANY's financial statements for the year ended December 31,2020 have been asked to examine selected accounts. The controller for the BODYSHOTS mentions that there is only one account shown below kept for intangible assets. INTANGIBLE ASSETS Feb. 1 Organizing costs Mar 2 Research and development cost April 3 Legal costs to obtain patent May 1 Payment of 24 months' rent on property leased by BODYSHOTS Jun 15 Promotional expenses related to start up of business Dec. 31 Unamortized expenses bond discount on bonds due December 31.2011 Dec.31 Operating losses for the first year Debit P 83.000 2,100,000 260.000 720.000 323.000 200,000 Credit 500.000 Balance P 83,000 2.183.000 2.443.000 3.163.000 3.486.000 3.686.000 4.186.000 1. The amount of organization expenses to be reported in BODYSHOTS's income statement for the year ended December 31,2020 is 2. What is the carrying value of the patent at December 31,2020 assuming that useful life is 15 years? 3. What is the prepaid rent to be shown on BODYSHOTS statement financial position at December 31,2020? As a member of the audit team for the audit of BODYSHOTS COMPANY's financial statements for the year ended December 31,2020 have been asked to examine selected accounts. The controller for the BODYSHOTS mentions that there is only one account shown below kept for intangible assets. INTANGIBLE ASSETS Feb. 1 Organizing costs Mar 2 Research and development cost April 3 Legal costs to obtain patent May 1 Payment of 24 months' rent on property leased by BODYSHOTS Jun 15 Promotional expenses related to start up of business Dec. 31 Unamortized expenses bond discount on bonds due December 31.2011 Dec.31 Operating losses for the first year Debit P 83.000 2,100,000 260.000 720.000 323.000 200,000 Credit 500.000 Balance P 83,000 2.183.000 2.443.000 3.163.000 3.486.000 3.686.000 4.186.000 1. The amount of organization expenses to be reported in BODYSHOTS's income statement for the year ended December 31,2020 is 2. What is the carrying value of the patent at December 31,2020 assuming that useful life is 15 years? 3. What is the prepaid rent to be shown on BODYSHOTS statement financial position at December 31,2020?

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1 The amount of organization expenses to be reported in BODYSHOTSs Income statement for the year end... View the full answer