View Policies Current Attempt in Progress The following transactions involving intangible assets of Sandhill Corporation occurred on or near December 31, 2020. 1. 2. 3. Minton paid Grand Company $404,000 for the exclusive right to market a particular product, using the Grand name and logo in promotional material. The franchise runs for as long as Sandhill is in business, Sandhill spent $678,000 developing a new manufacturing process. It has applied for a patent, and it believes that its application will be successful In January, 2021, Sandhill's application for a patent 2 above) was granted Legal and registration costs incurred were $201,600. The patent runs for 20 years. The manufacturing process will be useful to Minton for 10 years Sandhill incurred $179 200 in successfully defending one of its patents in an infringement suit. The patent expires during December, 2024 Sandhill incurred $460,800 in an unsuccessful patent defense. As a result of the adverse verdict, the patent, with a remaining unamortized cost of $277.200, is deemed worthless. Sandhill paid Sneed Laboratories $132,080 for research and development work performed by Sneed under contract for Sandhill. The benefits are expected to last six years. 4 5. 6. Prepare journal entries for on the date of transaction. (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 for the amounts.) No. Account Titles and Explanation Debit Credit 1. 2. 3. 5. (To record amount incurred.) (To record unamortized cost) 6