Murphy Printers incurred external costs of $1,400,000 for a patent for a new laser printer Although the patent gives legal protection for 20 years it was expected to provide Murphy with a competitive advantage for only ten years due to expected technological advances in the industry Murphy uses the straight-line method of amortization (Click the icon to view additional information) Read the requirements Requirement 1. Make journal entries to record (a) the purchase of the patent and (b) amortization for year 1. (Record debits fiest, then credits. Exclude explanations from any journal entries) Start by recording (a) the purchase of the patent. Journal Entry Date Accounts Debit Credit More Info After using the patent for five years Murphy learned at an industry trade show that Laser Rrinters has patented a more eficient printer and will be selling this printer next quarter, Because of this new information Murphy determined that the expected future cash flows from its patent were new only 5600.000 The fair value of Murphy's patent on the open market was now zero Requirements 1. Make journal entries to record (a) the purchase of the patent and (b) amortization for year 1 2. Once Murphy learned of the competing printer and adjusted the expected future cash flows from its original patent was this asset impaired? If so make the impairment adjusting entry. Pnnt Done Pint Done Choose from any list or enter any number in the input Tiekds and then chck Check Answer