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In January, 2008, Sanford Corporation purchased a patent for a new product for $1,200,000. The patent was valid for fifteen years but it was estimated to have a useful life of ten years.
During 2013 the product was permanently removed from the market due to a government order. What amount should Sanford charge to expense during 2013? A. $800,000 B. $600,000 C. $120,000 D. $80,000
WORKED EXAMPLES OF EXPECTED CASH COLLECTIONS PATTERNS
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