User Account

All Pages

What will be the carrying values of Patent X

Assignment Help Accounting Basics
Reference no: EM132595246

Question - On January 1, 2018, Navy Company purchased Patent X from the inventor at a price of P180,000. Patent X has a remaining life of 12 years. On the same date, the government granted to Navy Company Patent Y for which was incurred licensing and other related legal fees in securing the patent rights for P340,000 to be amortized using its legal life.

On January 1, 2022, the company successfully defended Patent X at a cost for legal services of P24,000. No cost of legal action was recovered. On December 31, 2027, the company incurred P28,000 for legal services in a successful infringement suit for Patent Y against a competitor. No recovery of legal costs.

Required -

a) Entries to record the purchase of Patent X and granting of Patent Y on January 2, 2018.

b) Entry to record the amortization of the two patents on December 31, 2018.

c) Entry to record on January 1, 2022 for the payment of the cost for legal services for successfully defending Patent X.

d) Entry to record the amortization of the two patents on December 31, 2022.

e) Entry to record on December 31, 2027 for the successful infringement suit for Patent Y against a competitor.

f) Entry to record the amortization of the two patents on December 31, 2028.

g) What will be the carrying values of Patent X and Patent Y on December 31, 2028?

Reference no: EM132595246

Questions Cloud

Patient Protection and Affordable Care Act : The "Patient Protection and Affordable Care Act" is perhaps the largest health policy ever passed by Congress.
Determine the amount of over- or underapplied overhead : Determine the amount of over- or underapplied overhead and state whether it was under or overapplied. Prepare the journal entry to eliminate
Activities in regards to health policy research : Research the Kaiser Family Foundation. Identify their activities in regards to health policy research.
Does the company provide a sources and uses of cash : Does the company provide a sources and uses of cash for the period? Identify and quantify the non-cash components added back to NI in the cash from operations
What will be the carrying values of Patent X : Entries to record the purchase of Patent X and granting of Patent Y on January 2, 2018. What will be the carrying values of Patent X and Patent Y on December
Describe the organizational power structure : In your organization, how would you describe the organizational power structure? Who are the agents? Who are the targets?
Performance management practice for expatriate managers : When considering performance management practice for expatriate managers, what are the major factors that must be addressed?
Brief description of the organization and segment : Brief description of the organization/segment. SWOT analysis in chart form containing the following categories: Strengths, Weaknesses, Opportunities and Threats
Define what is meant by capital expenditure : Define what is meant by 'capital expenditure' and by 'revenue expenditure' and how each is treated in the financial records of a company.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd