Professional Documents
Culture Documents
INTANGIBLE ASSETS
PROBLEMS
2006
Jan. 1 Patents 60,000
Cash 60,000
2006-2008
Dec. 31 Amortization Expense 15,800
Accumulated Amortization-Patents 15,800
196,000 – (19,600 x 5) = 98,000
(98,000 + 60,000) / 10 = 15,800
2009
July 1 Amortization Expense 7,900
Accumulated Amortization-Patents 7,900
15,800 x 6/12 = 7,900
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Chapter 6 - Intangible Assets
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Chapter 6 - Intangible Assets
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Chapter 6 - Intangible Assets
Problems
MC21 d 244,000 + 100,000 = 344,000
MC22 a P0
MC23 c 750,000 + 150,000 = 900,000
MC24 b 1,200,000 x 2/50 = 48,000; (750,000 ÷ 10) x 2/12 = 12,500
60,000 x 2/12 = 10,000; 48,000 + 12,500 + 10,000 = 70,500
MC25 b 125,000 ÷ 10 = 12,500; 272,500 ÷ 5 = 54,500 x ½ = 27,250
656,200 ÷ 17 = 38,600; 12,500 + 27,250 + 38,600 = 78,350
MC26 b 200,000 + (100,000 x 2.91) = 491,000
MC27 c 340,000 ÷ 10 = 34,000 x ½ = 17,000
MC28 c 340,000 – 17,000 – 34,000 = 289,000
MC29 b 289,000 ÷ 5 = 57,800
MC30 a P0
MC31 c 68,000 + 24,000 + 6,000 + 19,000 = 117,000
MC32 c 152,000 ÷ 8 = 19,000
MC33 a 1,440,000 x 1.5/10 = 216,000
MC34 d 40,000 + 5,000 = 45,000
MC35 c 900,000 x 7/10 = 630,000
MC36 b 210,000 + 300,000 + 400,000 + 220,000 + 260,000 = 2,080,000
MC37 c 1,500,000 ÷ 30 = 50,000
MC38 b 1,000,000
MC39 d 480,000 ÷ 10 = 48,000
MC40 a (480,000 x 5/10) + 200,000 = 440,000; 440,000 ÷ 10 = 44,000
MC41 b 440,000 – (44,000 x 3.5 yrs) = 286,000
MC42 b 270,000 x 6/10 = 162,000; 162,000 ÷ 3 = 54,000; 162,000 – 54,000 = 108,000
MC43 c 1,150,000 – 525,000 = 625,000; 700,000 – 625,000 = 75,000
MC44 d 1/5=20%; Depreciation is the higher rate which is 30%; thus carrying amount is 70%
MC45 a 1,500,000 ÷ 5,000,000 = 30%; 30% x 2,500,000 = 750,000
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