Question

On June 1, 2015, Grouper spent $17,280 to successfully prosecute a patent infringement suit. As a result, the estimate of useful life was extended to 12 years from June 1, 2015. Prepare all journal entries required in 2015 and 2016. (Round answers to O decimal places, e.g. 8,564. Credit account titles are automatically indented when amount is entered. Do not Indent manually. If no entry Is required, select "No Entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Credit 2015 Patents Cash (To record patents) 2015 Amortization Expense Patents (To record amortization expense) 2016 Amortization Expense Patents In 2017, Grouper determined that a competitor's product would make the New Age Piano obsolete and the patent worthless by December 31, 2018. Prepare all journal entries required in 2017 and 2018. (Round answers to 0 decimal places, e.g. 8,564. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Deblt Credit

Answer 1

Journal entry

Date	account and explanation	debit	credit
2015	Patent	17280
	cash		17280
2015	Amortization expense (17280/12)*7/12	840
	patent		840
2016	Amortization expense	1440
	Patent		1440

Journal entry

Date	account and explanation	debit	credit
2017	Amortization expense	7500
	Patent		7500
2018	Amortization expense	7500
	Patent		7500