Exercise 12-12 On July 1, 2017, Novak Corporation purchased Young Company by paying $251,100 cash and issuing a $133,000 note payable to Steve Young. At July 1, 2017, the balance sheet of Young Company was as follows. Cash $50,800 Accounts payable $206,000 Accounts receivable 91,700 Stockholders equity 242,700 Inventory 109,000 $448,700 Land 40,200 Buildings (net) 75,100 Equipment (net) 70,000 Trademarks 11,900 $448,700 The recorded amounts all approximate current values except for land (fair value of $62,500), inventory (fair value of $125,700), and trademarks (fair value of $15,600). Prepare the July 1 entry for Novak Corporation to record the purchase. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit SHOW LIST OF ACCOUNTS LINK TO TEXT LINK TO TEXT Prepare the December 31 entry for Novak Corporation to record amortization of intangibles. The trademark has an estimated useful life of 4 years with a residual value of $3,000. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit Click if you would like to Show Work for this question: Open Show Work