Problem 7-6A (Algo) Record amortization and prepare the intangible assets section (LO7-5)

The following information relates to the intangible assets of University Testing Services (UTS):

1. On January 1, 2024, UTS completed the purchase of Heinrich Corporation for $2,898,000 in cash. The fair value of the net identifiable assets of Heinrich was $2,600,000.
2. Included in the assets purchased from Heinrich was a patent valued at $93,200. The original legal life of the patent was 20 years; there are 12 years remaining, but UTS believes the patent will be useful for only eight more years.
3. UTS acquired a franchise on July 1, 2024, by paying an initial franchise fee of $346,000. The contractual life of the franchise is 10 years.

Required:

1. Record amortization expense for the intangible assets at December 31, 2024.
2. Prepare the intangible asset section of the December 31, 2024, balance sheet.

Journal entry worksheet On January 1, 2024, UTS completed the purchase of Heinrich Corporation for $2,898,000 in cash. The fair value of the net identifiable assets of Heinrich was $2,600,000. Record amortization of goodwill. Note: Enter debits before credits. Journal Entry Required" in the first antangible assets at December 31, 2024. (If no entry is required for a tra Journal entry worksheet Included in the assets purchased from Heinrich was a patent valued at $93,200. The original legal life of the patent was 20 years; there are 12 years remaining, but UTS believes the patent will be useful for only eight more years. Record amortization of the patent. Note: Enter debits before credits. Record amortization expense for the intangible assets at December 31, 2024. (If no entry is required for a transactionvever Journal Entry Required" in the first account field.) Journal entry worksheet UTS acquired a franchise on July 1,2024 , by paying an initial franchise fee of $346,000. The contractual life of the franchise is 10 years. Record amortization of the franchise rights. Note: Enter debits before credits. The following information relates to the intangible assets of University Testing Services (UTS): a. On January 1,2024 , UTS completed the purchase of Heinrich Corporation for $2,898,000 in cash. The fair value of the net identifiable assets of Heinrich was $2,600,000. b. Included in the assets purchased from Heinrich was a patent valued at $93,200. The original legal life of the patent was 20 years; there are 12 years remaining, but UTS belleves the patent will be useful for only eight more years. c. UTS acquired a franchise on July 1,2024 , by paying an initial franchise fee of $346,000. The contractual life of the franchise is 10 years. Required: 1. Record amortization expense for the intangible assets at December 31,2024. 2. Prepare the intangible asset section of the December 31,2024 , balance sheet. Complete this question by entering your answers in the tabs below. Prepare the intangible asset section of the December 31,2024 , balance sheet