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1. During 2021, the following were acquired/paid for by Smallville Company Paid 800,000 in acquiring Clark Company. The amount included P60,000 for a technology patent;

1. During 2021, the following were acquired/paid for by Smallville Company

  • Paid 800,000 in acquiring Clark Company. The amount included P60,000 for a technology patent; P45.000 for a franchise agreement and P80,000 which was attributed to the company's good reputation. Smallville Company likewise paid Clark Company P120,000 for a non-competing contract preventing Clark Company from engaging in a similar industry for a period of five years.
  • Training cost incurred for a specialized product line, P60,000

The amount included under intangible assets is

2. During 2021, Lana Company acquired the following:

  • Music copyrights. 60,000
  • Cable television license, P95,000
  • Acquired an operating system for a computer controlled machine for P90,000
  • Acquired an application software for its design and rendering team, P110,000

The amount to be included as intangible assets is

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