Bab 3 963

BE12.1 (LO2) Celine Dion Corporation purchases a patent from Salmon Company on January 1, 2019, for
$54,000. The patent has a remaining legal life of 16 years. Celine Dion feels the patent will be useful for
10 years. Prepare Celine Dion's journal entries to record the purchase of the patent and 2019
amortization.

Jurnal saat membeli patent

Patent 54.000

Casah 54.000

Jurnal amortisasi

Patent amortisasi exp 5.400

Patent/acc patent amor 5.400

BE12.2 (LO2) Use the information provided in BE12.1. Assume that at January 1, 2021, the carrying
amount of the patent on Celine Dion's books is $43,200. In January, Celine Dion spends $24,000
successfully defending a patent suit. Celine Dion still feels the patent will be useful until the end of 2028.
Prepare the journal entries to record the $24,000 expenditure and 2021 amortization.

Jurnal expenditure of patent

Patent 24.000

Cash 24.000

Jurnal amor

Amortisasi exp 8.375

Patent 8.375

BE12.3 (LO2) Larry Lyon SA spent €68,000 in attorney fees while developing the trade name of its new
product, the Mean Bean Machine. Prepare the journal entries to record the €68,000 expenditure and
the first year's amortization, using an 8-year life.

Jurnal pembelian

Trade name 68.000

Cash 68.000

Menghit amortisasi thn pertama

Amortisasi exp 8500

Trade name 8500

BE12.4 (LO2) Gershwin plc obtained a franchise from Sonic Hedgehog Inc. for a cash payment of
£120,000 on April 1, 2019. The franchise grants Gershwin the right to sell certain products and services
for a period of 8 years. Prepare Gershwin's April 1 journal entry and December 31 adjusting entry.

Jurnal saas pembelian

¼ franchise 120.000

Cash 120.000

Menghit JP des 19

Adjusting entry

Amortisasi exp 11.250

Francise 11.250

BE12.5 (LO3) On September 1, 2019, Winans Ltd. acquired Aumont Enterprises for a cash payment of
£700,000. At the time of purchase, Aumont's statement of financial position showed assets of £620,000,
liabilities of £200,000, and equity of £420,000. The fair value of Aumont's assets is estimated to be
£800,000. Compute the amount of goodwill acquired by Winans.

100.000

BE12.6 (LO4) Kenoly Corporation owns a patent that has a carrying amount of $300,000. Kenoly expects
future net cash flows from this patent to total $210,000 over its remaining life of 10 years. The
recoverable amount of the patent is $110,000. Prepare Kenoly's journal entry, if necessary, to record the
loss on impairment

Fair value 190.000

Loss on importment 190.000

Patent 190.000.

Krn nilainya expetasi net cashlow 210.00 maka nilai looss imporment harus

BE12.7 (LO4) Use the information in BE12.6. Assume that at the end of the year following the
impairment (after recording amortization expense), the estimated recoverable amount for the patent is
$130,000. Prepare Kenoly's journal entry, if needed.

Fair falue 130.00 krn ternyaa di loss imparement fair falue 110.000 didawah asumsikan mka tdk ada
jurnal

BE12.8 (LO4) Waters Ltd. purchased Jang Group 3 years ago and at that time recorded goodwill of
HK$400,000. The Jang Division's net assets, including the goodwill, have a carrying amount of
HK$800,000. The fair value of the division is estimated to be HK$1,000,000. Prepare Waters' journal
entry, if necessary, to record impairment of the goodwill.
800.000 – 750.000 = 50.000

Loss imperement 50.000

Istimated 50.000

BE12.9 (LO4) Use the information provided in BE12.8. Assume that the recoverable amount of the
division is estimated to be HK$750,000. Prepare Waters' journal entry, if necessary, to record
impairment of the goodwill.

Loss imperement 50.000

Istimated 50.000

BE12.10 (LO5) Sujo Ltd. commenced operations in early 2019. The company incurred HK$60,000,000 of
costs such as fees to underwriters, legal fees, governmental fees, and promotional expenditures during
its formation. Prepare journal entries to record the HK$60,000,000 expenditure and 2019 amortization,
if any.

Organized ekpense 60.000

Cahs 60.000

BE12.11 (LO5) Treasure Land plc incurred the following costs in 2019. Cost of laboratory research aimed
at discovery of new knowledge £120,000 Cost of testing in search for product alternatives 100,000 Cost
of engineering activity required to advance the design of a product to the manufacturing stage 210,000
Prototype testing subsequent to meeting economic viability 75,000 £505,000 Prepare the necessary
2019 journal entry or entries for Treasure Land.

Total cast of research 430.000

Resechh development exp 430.000

Cash 430.000

BE12.12 (LO5) Indicate whether the following items are capitalized or expensed in the current year.

a. Purchase cost of a patent from a competitor. capitalize

b. Research costs. exp

c. Development costs (after achieving economic viability). exp

d. Organizational costs. exp

e. Costs incurred internally to create goodwill. capitalize

BE12.13 (LO4) Nieland Industries had one patent recorded on its books as of January 1, 2019. This
patent had a book value of $288,000 and a remaining useful life of 8 years. During 2019, Nieland
incurred research costs of $96,000 and brought a patent infringement suit against a competitor. On
December 1, 2019, Nieland received the good news that its patent was valid and that its competitor
could not use the process Nieland had patented. The company incurred $85,000 to defend this patent.
At what amount should the patent(s) be reported on the December 31, 2019, statement of financial
position, assuming monthly amortization of patents? B

E12.14 (LO4) Sinise Industries acquired two copyrights during 2019. One copyright related to a textbook
that was developed internally at a cost of €9,900. This textbook is estimated to have a useful life of 3
years from September 1, 2019, the date it was published. The second copyright (a history research
textbook) was purchased from University Press on December 1, 2019, for €24,000. This textbook has an
indefinite useful life. How should these two copyrights be reported on Sinise's statement of financial
position as of December 31, 2019?