Balance Sheet of General Products Inc. on Dec 31, 2015

Trademarks $190,000

Prepare Journal Entries for 2016 with data below.

Trades Marks were acquired for $200,000 in 2015.

Estimated useful at the time of acquisition was 20 years.

There was a litigation brought out by a competitor against the Trademark.

General Product could successfully defended this litigation at a cost of $ 45,000.

The new useful life of Trademark is estimated to be 25 years from the date of acquisition.