2) Future cash flow information and fair market values for intangible assets are as follows: Franchise: Expected future cash flows: 38,800 Fair value: 34,800 Patent: Expected future cash flows: S 72,880 Fair value: 70,880 Goodwill: The Belfast Equipment Division reports the following amounts on its balance sheet dated 12/31/x2: Current Assets 130,000 Non-current Assets 820,000 Current Liabilities 200,000 Non-current Liabilities 350,000 The recorded amount of the net assets (excluding Goodwill) for the Belfast Equipment Division is the same as fair value except for the following: The fair value of equipment is $ 60,000 higher than its carrying value. The fair value of the patent is stated above: $ 70,880 [Hint: The difference between the carrying value and the fair value of the patent as of 12/31/x2 is also part of the determination of the fair value of the net identifiable assets at 12/31/x2.] For the Belfast Equipment Division , assume the fair value at 12/31/x2 is: $ 390,0007} The Belfast Equipment Company was purchased on April 1, 20:1. The entry made at the time of the acquisition was as follows: - I__ m_ - m___ _l__ _-_ [NOTE All estimated lives begin as of April 1, 20:1.1 a} The estimated life iii of yearsi of the light duty equipment is: The residual value [as a percentage of original east} is estimated at: The straight-line method of depreciation is used for these assets. is] The estimated life [ii of years} of the heavy duty equipment is: a The residual value [as a percentage of original oost} is estimated at: 596 The double-declining balance method of depreciaton is used for these assets. 2) Future cash flow information and fair market values for intangible assets are as follows: Franchise: Expected future cash flows: 38,800 Fair value: 34,800 Patent: Expected future cash flows: 72,880 Fair value: 70,880 Goodwill: The Belfast Equipment Division reports the following amounts on its balance sheet dated 12/31/x2: Current Assets $ 130,000 Non-current Assets 820,000 Current Liabilities 200,000 Non-current Liabilities 350,000 The recorded amount of the net assets (excluding Goodwill) for the Belfast Equipment Division is the same as fair value except for the following: The fair value of equipment is $ 60,000 higher than its carrying value. The fair value of the patent is stated above: $ 70,880 [Hint: The difference between the carrying value and the fair value of the patent as of 12/31/x2 is also part of the determination of the fair value of the net identifiable assets at 12/31/x2.] For the Belfast Equipment Division , assume the fair value at 12/31/x2 is: $ 390,000