Question

please help with these accouting questions!

19. Given the following account balances at year end, compute the total intangible assets on the balance sheet of Janssen Enterprises. Cash $1,500,000 Accounts Receivable 1,000,000 Trademarks 1,200,000 Goodwill 2,500,000 Research & Development Costs 2,000,000 A) $9,700,000 B) $5,700,000. C) $3,700,000 D) $7,700,000 20. On July 1, 2017, Linden Company purchased the copyright to Norman Computer Tutorials for $210,000. It is estimated that the copyright will have a useful life of 5 years. The amount of amortization expense recognized for the year 2017 would be B) C) D) $19,687 $38,850. $21,000. 21. The following information is provided for Nguyen Company and Northwest Corporation (in $ millions). Nguyen Company Northwest Corporation Net income 2017 $165 $420 Net sales 2017 1,650 4,900 Total assets 12/31/15 1,000 2,400 Total assets 12/31/16 1,050 3.000 Total assets 12/31/17 1,150 4,000 What is Nguyen's asset turnover for 2017? A) 4.00 times B) 1.50 times C) 0.25 times

Answer 1

Answer to Question 19:

Intangible Assets = Trademarks + Goodwill
Intangible Assets = $1,200,000 + $2,500,000
Intangible Assets = $3,700,000

Answer to Question 20:

Cost of Copyright = $210,000
Useful Life = 5 years

Annual Amortization = Cost of Copyright / Useful Life
Annual Amortization = $210,000 / 5
Annual Amortization = $42,000

Amortization Expense for 2017 = $42,000 * 6/12
Amortization Expense for 2017 = $21,000

Answer to Question 21:

Average Total Assets = (Total Assets, 12/31/16 + Total Assets, 12/31/17) / 2
Average Total Assets = ($1,050 + $1,150) / 2
Average Total Assets = $1,100

Asset Turnover = Net Sales / Average Total Assets
Asset Turnover = $1,650 / $1,100
Asset Turnover = 1.50