Question: Please I need answer. Intermediate Accounting Subject. 2. On 1 January 2019, Candid PLC Corporation applied for a patent, incurring legal costs of $32,000. In

Please I need answer. Intermediate Accounting Subject.

2. On 1 January 2019, Candid PLC Corporation applied for a patent, incurring legal costs of $32,000. In January 2020, Candid PLC incurred $14,000 of legal fees in a successful defense of its patent right. Consider the following independent situations. a. Compute 2019 amortization, year-end book value, 2020 amortization, and year-end book value if the company amortizes the patent over 8 years. b. Compute the 2020 amortization and the year-end book value, assuming that at the beginning of 2020, Candid PLC determines that the patent will provide no future benefits beyond December 31, 2022. c. Compute the 2021 amortization and the year-end book value, assuming that at the beginning of 2021, based on new market research, Candid PLC determines that the recoverable amount of the patent is $24,000. 8 Marks

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