On January 1, 2025, Sunland Company had a balance of $417,600 of goodwill on its balance...

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On January 1, 2025, Sunland Company had a balance of $417,600 of goodwill on its balance sheet that resulted from the purchase of a small business in a prior year. The goodwill had an indefinite life. During 2025, the company had the following additional transactions. Jan 2 Purchased a patent (5-year life) $324,800. July 1 Acquired a 9-year franchise; expiration date July 1, 2034, $626,400. Sept. 1 Research and development costs $214,600. Your answer is correct. Prepare the necessary entries to record the transactions related to intangibles. All costs incurred were for cash. (List debit entry before credit entry. Record entries in the order displayed in the problem statement. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Jan. 2 Patents Cash July 1 Franchise Cash Debit 324,800 626,400 Sept. 1 Research and Development Expense 214,600 Cash Credit 324,800 626,400 214,600 (b) Your answer is partially correct. Make an entry as of December 31, 2025, recording any necessary amortization. (List all debit entries before credit entries. Round answers to O decimal places, eg. 125. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Amortization Expense Accumulated Depreciation-Store Equipment Amortization Expense Debit 64,960 Credit 69,600 69.600 (c) The parts of this question must be completed in order. This part will be available when you complete the part above. On January 1, 2025, Sunland Company had a balance of $417,600 of goodwill on its balance sheet that resulted from the purchase of a small business in a prior year. The goodwill had an indefinite life. During 2025, the company had the following additional transactions. Jan 2 Purchased a patent (5-year life) $324,800. July 1 Acquired a 9-year franchise; expiration date July 1, 2034, $626,400. Sept. 1 Research and development costs $214,600. Your answer is correct. Prepare the necessary entries to record the transactions related to intangibles. All costs incurred were for cash. (List debit entry before credit entry. Record entries in the order displayed in the problem statement. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Jan. 2 Patents Cash July 1 Franchise Cash Debit 324,800 626,400 Sept. 1 Research and Development Expense 214,600 Cash Credit 324,800 626,400 214,600 (b) Your answer is partially correct. Make an entry as of December 31, 2025, recording any necessary amortization. (List all debit entries before credit entries. Round answers to O decimal places, eg. 125. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Amortization Expense Accumulated Depreciation-Store Equipment Amortization Expense Debit 64,960 Credit 69,600 69.600 (c) The parts of this question must be completed in order. This part will be available when you complete the part above.