Intangibles: Balance Sheet Presentation and Income Statement Effects Binford Company has provided information on intangible assets as follows: 1. A patent was purchased from Lou Company for $1,860,000 on January 1, 2018. Binford estimated the remaining useful life of the patent to be 15 years. The patent was carried in Lou's accounting records at a net book value of $1,650,000 when Lou sold it to Binford. 2. During 2019, a franchise was purchased from Rink Company for $580,000. In addition, 6% of revenue from the franchise must be paid to Rink. Revenue from the franchise for 2019 was $2,100,000. Binford estimates the useful life of the franchise to be 5 years and takes a full year's amortization in the year of purchase. 3. Binford incurred R\&D costs in 2019 as follows: Binford estimates that these costs will be recouped by December 31, 2020. 4. On January 1, 2019, Binford estimates, based on new events, that the remaining life of the patent purchased on January 1, 2018, is only 10 years from January 1,2019. Required: 1. Prepare a schedule showing the intangibles section of Binford's balance sheet at December 31, 2019. 2. Prepare a schedule showing the income statement effects for the year ended December 31,2019 , as a result of the previously mentioned facts