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Exercise 12-10 Windsor Industries has the following patents on its December 31, 2016, balance sheet. Initial Cost Acquired $45,084 $17,520 $24,480 Date Useful Life at

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Exercise 12-10 Windsor Industries has the following patents on its December 31, 2016, balance sheet. Initial Cost Acquired $45,084 $17,520 $24,480 Date Useful Life at Date Acquired 17 years 10 years 4 years Patent Item Patent A Patent B Patent C The following events occurred during the year ended December 31, 2017 1. Research and development costs of $251,000 were incurred during the year 2. Patent D was purchased on July 1 for $46,056. 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 Windsor estimates the expected future cash flows from Patent B will be as follows. Year 2018 2019 2020 Expected Future Cash Flows $1,950 1,950 1,950 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 Windsor' patents on its December 31, 2016, balance sheet. (Round answer to 0 decimal places, e.g. 8,564.) Total carrying amount Compute the total carrying amount of Windsor' patents on its December 31, 2017, balance sheet. (Round answer to 0 decimal places, e.g. 8,564.) Total carrying amount

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