Question
On January 1, 2017, Sunland Company had a balance of $ 388,000 of goodwill on its...
On January 1, 2017, Sunland Company had a balance of $ 388,000
of goodwill on its balance sheet that resulted from the purchase of
a small business in a prior year. The goodwill had an indefinite
life. During 2017, the company had the following additional
transactions.
| Jan. | 2 | Purchased a patent ( 5-year life) $ 360,150. | |
| July | 1 | Acquired a 10-year franchise; expiration date July 1, 20 27, $ 576,000. | |
|
Sept 1 Research and development costs $ 178,500.
(Round answers to 0 decimal places, e.g. 125. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) |
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