a) Amortization Expenses :-
Particulars | Amount($) |
Patent ($134400/6 years) | 22400 |
Non-compete Agreement (($640000*25%)/5) | 32000 |
Total Amortization Expenses | 54400 |
Remaning Useful life of Patent = 8 years - 2 years = 6 years
b) Balance Sheet :-
Assets | Amount($) |
Intangible Assets :- | |
Patent ($134400-$22400) | 112000 |
Trademark ($640000*75%) | 480000 |
Non-compete Agreement (($640000*25%)-$32000) | 128000 |
Goodwill ($960000-$640000) | 320000 |
Total Intangible Assets | 1040000 |
Income Statement :-
Particulars | Amount($) |
Other Expenses :- | |
Amortization Expenses | 54400 |
Research and Development Expenses ($100000+$12000+$16000) | 128000 |
Total Other Expenses | 182400 |
Question 2 Not complete Marked out of 9.00 P Flag question Patent Accounting for various intangible...
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