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Due to rapid employee turnover in the accounting department, the following transactions involving intangible assets were improperly recorded by Pharoah Corporation.

Pharoah developed a new manufacturing process, incurring research and development costs of $$121,000.$ The company also purchased a patent for $$65,000.$ In early January, Pharoah capitalized $$186,000$ as the cost of the patents. Patent amortization expense of $$9,300$ was recorded based on a $20-$year useful life.

On July $1,2022,$ Pharoah purchased a small company and as a result recorded goodwill of $$87,000.$ Pharoah recorded a halfyear's amortization in $2022,$ based on a $20-$year life $($$$2,175$ amortization$).$ The goodwill has an indefinite life.

Prepare all journal entries necessary to correct any errors made during $2022.$ Assume the books have not yet been closed for $2022.($Credit occount titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select $"$No Entry" for the account titles and enter $0$ for the amounts.$)$

No$.$ Account Titles and Explanation

Debit

Credit

$1.$

$($To record research and development expense$)$

$($To reverse amortization expense$)$

$2.$

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List of Accounts

Attempts: $0$ of $3$ used