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Granite Enterprises acquired a patent from Southern Research Corporation on January 1, 2021, for $3.9 million. The patent will be used for five years, even

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Granite Enterprises acquired a patent from Southern Research Corporation on January 1, 2021, for $3.9 million. The patent will be used for five years, even though its legal life is 20 years, Rocky Corporation has made a commitment to purchase the patent from Granite for $150,000 at the end of five years. Compute Granite's potent amortization for 2021, assuming the straight line method is used Multiple Choice $750 000 $780.000 $375.000 $390,000

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