F2 View Policies Show Attempt History Current Attempt in Progress On January 1, 2025, Sunland Company had a balance of $417,600 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 2025, the company had the following additional transactions. Jan. 2 Purchased a patent (5-year life) $324,800. July 1 Sept. 1 (a) Date Prepare the necessary entries to record the transactions related to intangibles. All costs incurred were for cash. (List debit entry before credit entry. 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.) Jan. 2 Your answer is correct. July 1 V 89 4 Acquired a 9-year franchise; expiration date July 1, 2034, $626,400. Research and development costs $214,600. F3 Account Titles and Explanation Patents Cash Franchise F4 DII F5 -0. F6 F7 Debit 324800 626400 P PrtScn F8 Credit PRE Home F9 324800 End F10 PqUp

On January 1,2025 , Sunland Company had a balance of $417,600 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 2025, the company had the following additional transactions. Jan. 2 Purchased a patent (5-year life) $324,800. July 1 Acquired a 9-year franchise; expiration date July 1,2034,\$626,400. Sept. 1 Research and development costs $214,600. (a) Your answer is correct. Prepare the necessary entries to record the transactions related to intangibles. All costs incurred were for cash. (List debit entry before credit entry. 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.) Make an entry as of December 31,2025, recording any necessary amortization. (List all debit entries before credit entries. Round answers to 0 decimal places, es. 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 Ofor the amounts.) eTextbook and Media List of Accounts Attempts: 5 of 6 used (c) The parts of this question must be completed in order. This part will be available when you complete the part above