Flounder Industries Ltd. acquired two copyrights during 2020. One copyright was on a textbook that was developed internally at a cost of $37,400. This textbook is estimated to have a useful life of 2 years from July 1, 2020, the date it was published. The second copyright is for a history research textbook and was purchased from University Press on October 1, 2020, for $55,800. This textbook seems to have an indefinite useful life. How should these two copyrights be reported on Flounders statement of financial position as at December 31, 2020?

Copyright No. 1 should be select an option

capitalizedexpensed

. It would be reflected on the December 31, 2020 select a statement

statement of financial positionincome statement

at $enter a dollar amount

.

Copyright No. 2 should be select an option

capitalizedexpensed

. It would be reflected on the December 31, 2020 select a statement

statement of financial positionincome statement

at $enter a dollar amount

.