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 $190,000 at the end of five years. Compute Granite's patent amortization for 2021, assuming the straight-line method is used Multiple Choice $780,000 $371000 $742.000 In January 2021 Vega Corporation purchased a potent at a cost of $214,000. Legal and filing fees of $67,000 were paid to acquire the patent. The company estimated a 10-year useful life for the patent and uses the straight-line amortization method for all intangible assets. In January 2024, Vega spent $30,000 in legal fees for an unsuccessful defense of the patent and the patent is no longer usable. The amount charged to income (expense and loss) in 2024 related to the patent should be: Multiple Choice $ 58,100 $214,000 o $ 30,000 On January 3, 2021, Tracer Incorporated purchased a patent for $504,000 to manufacture a new type of chair. The potent has a remaining legal life of 12 years. Tracer plans to manufacture the chair for eight years and then sell the patent for $68,000 The company amortizes intangible assets using the straight-line method. On December 29, 2023, Tracer decides to sell the patent for $355,000. Assuming the company has a December 31 year-end, what is the gain or loss recorded on the sale of the patent? Multiple Choice $17,000 gain $14,500 gain $81,625 loss