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Company MMM purchased a patent for $100,000 with a useful life of 10 years. Using the straight-line amortization method, what is the annual amortization expense?

Company MMM purchased a patent for $100,000 with a useful life of 10 years. Using the straight-line amortization method, what is the annual amortization expense? Explain the straight-line amortization method and its application in spreading the cost of intangible assets over their useful lives. Discuss the significance of amortization in accounting for the consumption of intangible assets over time.

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