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Required information Knowledge Check 01 On January 5, Barnaby, Inc., purchased a patent costing $100,000 with a useful life o
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Answer #1

The journal entry will be:

Amortization expense A/c Dr. $5,000

To Patent A/c $5,000

(Being patent amortized)

Calculation-

Yearly amortization = cost / useful life

= 100,000 / 20

= 5,000

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