Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

hey can you help me with this question please Due to rapid employee turnover in the accounting department, the following transactions involving intangible assets were

hey can you help me with this question please

Due to rapid employee turnover in the accounting department, the following transactions involving intangible assets were improperly recorded by Bramble Corporation.

1. Bramble developed a new manufacturing process, incurring research and development costs of $154,800. The company also purchased a patent for $54,000. In early January, Bramble capitalized $208,800as the cost of the patents. Patent amortization expense of $10,440was recorded based on a 20-year useful life.
2. On July 1, 2017, Bramble purchased a small company and as a result recorded goodwill of $84,000. Bramble recorded a half-years amortization in 2017, based on a 20-year life ($2,100 amortization). The goodwill has an indefinite life.
Prepare all journal entries necessary to correct any errors made during 2017. Assume the books have not yet been closed for 2017.(Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
No. Account Titles and Explanation Debit Credit
1.
(To correct the error made in recording research and development costs)
(To correct the error made in recording amortization expense)
2.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Payroll Accounting

Authors: Bernard J. Bieg, Judith Toland

21st Edition

1111531056, 978-1111531058

More Books

Students also viewed these Accounting questions

Question

Describe major criticisms of Freuds system of thought.

Answered: 1 week ago