Use the information in BE12.13 and assume that in January 2022, Lakeshore spends $26,000 successfully defending a patent suit. In addition, Lakeshore now feels the patent will be useful only for another seven years. Prepare the journal entries to record the 2022 expenditure and amortization for the year rounded to the nearest dollar.

BE12.13

Lakeshore Corporation purchased a patent from MaFee Corp. on January 1, 2020, for $87,000. The patent had a remaining legal life of 16 years. Prepare Lakeshore’s journal entries to record the 2020 patent purchase and amortization for the year rounded to the nearest dollar.