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ull COllipany and recorded goodwill of $150,000. Its useful life is 5u corporation. indefinite. Purchased for $75,000 a patent with an estimated useful life of 5 years and a legal life of 20 years. May 1 Instructions Prepare necessary adjusting entries at December 31 to record amortization required by the events above. E10-13 Gill Company, organized in 2017, has the following transactions related to intan- gible assets. Purchased patent (7-year life) $595,000 360,000 480,000 185,000 4/1/17Goodwill purchased (indefinite life) 10-year franchise; expiration date 7/1/2027 Research and development costs Instructions Make the and reflecting all balances accurately as of that date are the necessary entries to record these intangibles. All costs incurred were for cash. ne adjusting entries as of December 31, 2017, recording any necessary amortization a uring 2017, Paola Corporation reported net sales of $3,500,000 and net income Its balance sheet reported average total assets of $1,400,000