*Exercise 9-12 On January 1, 2017, Pharoah Company had a balance of $395,500 of goodwill on its balance sheet that resulted from the purchase of a small business in a prior year. The goodwill had an indefinite life. During 2017, the company had the following additional transactions. Jan. 2 July 1 Sept. 1 Purchased a patent (7-year life) $351,750. Acquired a 10-year franchise; expiration date July 1, 2027, $604,800. Research and development costs $177,000. Your answer is partially correct. Try again. Prepare the necessary entries to record the transactions related to intangibles. All costs incurred were for cash. (Record entries in the order displayed in the problem statement. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Debit Credit Date Account Titles and Explanation 11/2/17 Patents 1351750 TCash 351750) 171/17 Franchise T604800) Cash T604800] 9/1/17 Research and Development Expense 177000 TCash 177000 Your answer is partially correct. Try again. Make an entry as of December 31, 2017, recording any necessary amortization. (Round answers to o decimal places, e.g. 125. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) Account Titles and Explanation Debit Credit Amortization Expense 108150 X Patents 70350 X Franchise 37800 X Your answer is incorrect. Try again. Indicate what the intangible asset account balances should be on December 31, 2017. Patent 50250 Franchise 30240 Question Attempts: 1 of 3 used