Exercise 12-10 Tamarisk Industries has the following patents on its December 31, 2016, balance sheet Initial Cost $42,432 $15,960 $18,240 Patent Date Acquired Item Patent A Patent B Patent C Useful Life at Date Acquired 17 years 10 years 4 years The following events occurred during the year ended December 31, 2017 1. Research and development costs of $238,000 were incurred during the year. 2. Patent D was purchased on July 1 for $44,346. This patent has a useful life of 91/2 years. 3. As a result of reduced demands for certain products protected by Patent B, a possible impairment of Patent B's value may have occurred at December 31, 2017. The controller for Tamarisk estimates the expected future cash flows from Patent B will be as follows. Year 2018 2019 2020 Expected Future Cash Flows $2,200 2,200 2,200 The proper discount rate to be used for these flows is 8%. (Assume that the cash flows occur at the end of the year) Compute the total carrying amount of Tamarisk, patents on its December 31, 2016, balance sheet. (Round answer to 0 decimal places, eg. 8.564.) Total carrying amounts Compute the total carrying amount of Tamarisk' patents on its December 31, 2017, balance sheet. (Round answer to O decimal places, e.g. 8,564) Total carrying amount