E7-33A. (Learning Objectives 5, 6: Record intangibles, amortization, and impairment) Sweitzer Printers incurred external costs of $400,000 for a patent for a new laser printer Although the patent gives legal protection for 20 years, it was expected to provide Sweitzer with a competitive advantage for only ten years due to expected technological advances in the industry. Sweitzer uses the straight-line method of amortization. After using the patent for five years, Sweitzer learned at an industry trade show that Kayto Printers has patented a more efficient printer and will be selling this printer next quarter. Becs of this new information, Sweitzer determined that the expected future cash flows from its patent were now only $130.000. The fair value of Sweitzer's patent on the open market was now ze