123, E12-6 (Recognition and Amortization of Intangibles) Institute Limited organized late in 2016 and set up a single 4,5) account for all intangible assets. The following summary shows the entries in 2017 (all debits) that have been recorded in Intangible Assets since then: Jan. 2 Purchased patent (8-year life) $ 320,000 Mar. 31 Costs to search for new ways to apply patent that was purchased on Jan. 2 21,000 Apr. 1 Purchased goodwill (indefinite life) 310,000 July Purchased franchise with 10-year life; expiration date July 1, 2027 250,000 1 Promotional costs to increase the future economic benefit of the goodwill that was purchased on Apr. 1 33,000 Aug. 1 Payment for copyright (5-year life) 140,000 Purchased trademark (3-year life) 15,000 Purchased customer list (2-year life) 10,000 Sept. 1 Research costs 239,000 $1,338,000 Instructions () Prepare the necessary entries to clear the Intangible Assets account and to set up separate accounts for distinct types of intangibles. (b) Make the entries as at December 31, 2017, for any necessary amortization so that all balances are accurate as at that date. (C) Provide the asset amounts reported on the December 31, 2017 statement of financial position. E .SO.J