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Carey Corporation has five different intangible assets to be accounted for and reported on the financial statements. The management is concerned about the amortization of

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Carey Corporation has five different intangible assets to be accounted for and reported on the financial statements. The management is concerned about the amortization of the cost of each of these intangibles. Facts about each intangible follow. a, Goodwill, The company started business in January 2010 by purchasing another business for a cash lump 5 um of $660,000. Included in the purchase price was 'Goodwill, $76,000." Company executives stated that "the goodwill is an important long.lived asset to us." It has an indefinte life. b. Patent. The compary purchased a patent at a cash cost of $19.100 on January 1, 2023. It is amortized over its expected useful life of 10 years. c. Copyright. On January 1, 2023, the company purchased a copyright for $25,750 cash. It is estimated that the copyrighted item will hove no volue by the end of 25 years d. Franchise. The company obtained a franchise from Cirbo Company to make and distribute a special item, It obtained the franchise on January 1, 2023, at a cash cost of $19,700 for a 10 -year period. e. License On January 1, 2022, the comparty secured a license from the cify to operate a special service for a period of five years. Total cash expended to obtain the license was $22,200. Required: 1. Compute the amount of omortizotion that should be recorded for each intangible asset at the end of the annual accounting period, December 31, 2023. 2. Determine the book value of each intangible asset on January 1,2026. 3. Assume that on January 1.2026, the franchise was lakely impoired in its ability to continue to produce strong revenues due to a weakened demand for the products. The other intangible assets were not affected. Carey estimated that the franchise would be able to produce future cash flows of $13,290. The fair value of the frarichise was determined to be $12,790. Compute the amount, if any, of the impairment loss to be recorded

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