Brown Corporation purchased 100 percent ownership of Patriot Company on January 1, 20X5, for $350,000. On that date, the book value of Patriots reported net assets was $300,000. The excess over book value paid is attributable to depreciable assets with a remaining useful life of 10 years. Net income and dividend payments of Patriot in the following periods were as shown below:

Year	Net Income	Dividends
20X5	35000	7500
20X6	50000	10000
20X7	20000	15000

Required:

b. Caluclation of annual amortization of excess over book value:

Prepare journal entries on Brown Corporation's books relating to its investment in Patriot Company for each of the three years, assuming it accounts for he investment using the equity method. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) lote: Use cells A2 and C 9 from the given information to complete this question. 6 (2b) 7 (2c) 8 (3a) 9 (3b) 10 (3c) Acquisition Price Book value of Patriot Company net assets on acquisition date Excess over book value Life of assets Annual amortization