Problem 9-5A (Part Level Submission)

The intangible assets section of Sarasota Corporations balance sheet at December 31, 2017, is presented here.

Patents ($77,800 cost less $7,780 amortization)		$70,020
Copyrights ($43,500 cost less $30,450 amortization)		13,050
Total		$83,070

The patent was acquired in January 2017 and has a useful life of 10 years. The copyright was acquired in January 2011 and also has a useful life of 10 years. The following cash transactions may have affected intangible assets during 2018.

Jan.	2		Paid $54,000 legal costs to successfully defend the patent against infringement by another company.
Jan.	June		Developed a new product, incurring $237,000 in research and development costs. A patent was granted for the product on July 1, and its useful life is equal to its legal life. Legal and other costs for the patent were $30,000.
Sept.	1		Paid $63,500 to a quarterback to appear in commercials advertising the companys products. The commercials will air in September and October.
Oct.	1		Acquired a copyright for $299,000. The copyright has a useful life and legal life of 50 years.

(a)

Prepare journal entries to record the transactions. (Record entries in the order displayed in the problem statement. Credit account 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.)

Date	Account Titles and Explanation	Debit	Credit
choose a transaction date Jan. 2Jan.JuneJuly 1Sept. 1Oct. 1	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Jan. 2Jan.JuneJuly 1Sept. 1Oct. 1	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Jan. 2Jan.JuneJuly 1Sept. 1Oct. 1	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Jan. 2Jan.JuneJuly 1Sept. 1Oct. 1	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Jan. 2Jan.JuneJuly 1Sept. 1Oct. 1	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount