Evaluate the balance in the patent account, Cost Accounting

Assignment Help:

Banana Corporation had the following transactions relating to a patent:

January 1, 2010: Purchased patent for $2,000,000. The patent had fifteen years remainnig although Banana expected to use it for only ten.
January 1, 2012: Successfully defended patent in a lawsuit. Spent $250,000 on attorney fees.
January 1, 2013: Banana determined that the patent would become useless at the end of 2018.

Evaluate the balance in the patent account as of December 31, 2013. Show your calculations.


Related Discussions:- Evaluate the balance in the patent account

Apportionment of overheads, Apportionment of Overheads Apportionment...

Apportionment of Overheads Apportionment of overheads occurs whereas the net value of an overhead item is shared among more or two cost centers that employ the overheads. Th

Effective annual rate, The credit term from the supplier is 2/30, net 60. ...

The credit term from the supplier is 2/30, net 60. Requirements: Write the calculation Determine the effective annual rate if the firm does not take the discount.

Prepare a flexible overhead budget, Under a contract with the provincial go...

Under a contract with the provincial government, ChemLabs Inc. analyzes the chemical and bacterial composition of well water in various municipalities in the interior of British Co

Derive a truth table for a combinational logic circuit, Derive a truth tabl...

Derive a truth table for a combinational logic circuit that is to decode a 4-bit BCD representing a number in the range 0-9 and generate an appropriate 7-bit output to illuminate t

Cost accounting, Cost Accounting Cost accounting has been defined via ...

Cost Accounting Cost accounting has been defined via many accounting scholars in different forums. There is no single watertight definition of cost accounting, however the var

Direct materials budget, Direct Materials Budget This budget implies t...

Direct Materials Budget This budget implies the estimated quantities and costs of every the raw materials and components desired for the output demand by the production budget

What does the cost principle, What does the cost principle mean for a compa...

What does the cost principle mean for a company's income statement?

Why are marginal costs increasing, 1. Why are marginal costs increasing? Wh...

1. Why are marginal costs increasing? Why are they not always constant? You may give examples in some industries or just state two reasons at least.

Estimate the selling price and profit, Slash and Burn is a monopolist that ...

Slash and Burn is a monopolist that can sell its output at these prices and with these total costs:                    Output             Price        Total Cost

Calculate the capital account balance, You are given the following informat...

You are given the following information about a sole trader as at 1 January 2012: The value of assets and liabilities were: Non-current assets at net book value £16,800

Write Your Message!

Captcha
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!

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