chapter 8

Springer Company had three intangible assets at the end of 2023 (end of the accounting year):

A copyright purchased on January 1, 2023, for a cash cost of $15,400. The copyright is expected to have a 10-year useful life to Springer.

Goodwill of $74,000 from the purchase of the Hartford Company on July 1, 2022.

A patent purchased on January 1, 2022, for $50,000. The inventor had registered the patent with the U.S. Patent and Trademark Office on January 1, 2018. Springer intends to use the patent for its remaining life.

Required:

1. Compute the amortization expense of each intangible for the year ended December 31, 2023. The company does not use contra-accounts.

2a. Show how the expenses related to the three intangible assets should be reported on the income statement for 2023.

2b. Show how the three intangible assets should be reported on the balance sheet for 2023. (Assume there has been no impairment of goodwill.)

E8-21 (Algo) Computing and Reporting the Acquisition and Amortization of Three Different Intangible Assets LOB-6 Springer Company hacl three intanglble assets at the end of 2023 (end of the accounting year): a. A copyright purchased on January 1, 2023, for a cash cost of $15,400. The copyright is expected to have a 10-year useful life to Springer. b. Gooctwill of $74,000 from the purchase of the Hartford Company on July 1, 2022. c. A petent purchased on January 1, 2022, for $50,000. The inventor had registered the patent with the U.S. Patent and Trademark Office on January 1, 2018. Springer intends to use the patent for its remaining life. Required: 1. Compute the arnortization expense of each irtangible for the year ended December 31, 2023. The cornpary does not use contraaccounts. 2a. Show how the expenses related to the three intangible assets should be reported on the income staternent for 2023. 2b. Show how the three intangible assets should be reported an the balance sheet for 2023 . (Assume there has been no impairment of goodwili.] Camplete this question by entering your answers in the tabs below. Shew haw the three intangible arsets should be reported on the balance shet for 2023. (Assume there has been no impsirment of geodwill.) E8-21 (Algo) Computing and Reporting the Acquisition and Amortization of Three Different Intanglble Assets LOB-6 Springer Company had three intangible assets at the end of 2023 (end of the accounting year): a. A copyright purchased on January 1, 2023, for a cash cost of $15,400. The copyright is expected to have a 10-year useful life to Springer. b. Goodwill of $74,000 from the purchase of the Hartford Company on July 1, 2022. c. A patent purchased on January 1, 2022, for $50,000. The inventor had registered the patent win the U.S. Patent and Trademark Ofice on January 1,2018 . Springer intends to use the potent for its remaining life. Required: 1. Compute the amartization expense of ench intangible for the year ended December 31, 2023. The company does nat use cantraaccounts. 2a. Show how the expenses related to the three intangible assets should be reported on the income statement for 2023 2b. Show how the three Intangible assets should be reported on the balance sheet for 2023 . (Assume there has been no impairment of goodwill.] Complete this question by entering your answers in the tabs below. Show how the expenses related to the three intangible assets should be reported on the ineame staternent for 2023. E8-21 (Algo) Computing and Reporting the Acquisition and Amortization of Three Different Intangible Assets LOB-6 Springer Compeny had three intangible essets at the end of 2023 (end of the accounting yeaf): a. A copyright purchased on Jsnuary 1, 2023, for 8 cesh cost of $15,400. The copyright is expected to have a 10 yoer uscful life to Springer. b. Gooctwill of $74,000 from the purchase of the Harttord Compery an July 1, 2022. c. A patent purchased on Jaruary 1, 2022, for $50,000. The inventor had registered the patent with the U.S. Patent and Tradernark office on January 1, 2018. Springer intends to use the patent for Its remaining life. Required: 1. Compute the amortization expense of each intangible for the year ended December 31,2023 . The company does not use contraaccounts. 2a. Show how the expenses related to the three intangible assets should be reported on the income statement for 2023 . 2b. Show how the three intangible assets should be reperted on the balance sheet for 2023 . (Assurne there hes becn no impoirment of goodwill.] Complete this question by entering your answers in the tabs below. Compute the amortization expense df each intangible for the year ended December 31, 2023. The company does nat wse contra-accounts