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Problem 9-5A (Part Level Submission) The intangible assets section of Riverbed Corporation's balance sheet at December 31, 2017, is presented here. Patents ($72,300 cost less $7,230 amortization) Copyrights ($40,000 cost less $28,000 amortization) Total $65,070 12,000 $77,070 The patent was acquired in January 2017 and has a useful life of 10 years. The copyright was acquired in January 2011 and also has a useful life of 10 years. The following cash transactions may have affected intangible assets during 2018. Jan. 2 Paid $54,000 legal costs to successfully defend the patent against infringement by another company. Jan. June Developed a new product, incurring $240,000 in research and development costs. A patent was granted for the product on July 1, and its useful life is equal to Sept. Oct. its legal life. Legal and other costs for the patent were $10,000 1 Paid $52,500 to a quarterback to appear in commercials advertising the company's products. The commercials will air in September and October 1 Acquired a copyright for $290,000. The copyright has a useful life and legal life of 50 years. Prepare the intangible assets section of the balance sheet at December 31, 2018. Riverbed Corporation Balance Sheet (Partial) Click if you would like to Show Work for this question: Open Show Work Prepare journal entries to record the transactions. (Record entries in the order displayed in the problem statement. 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.) Date Account Titles and Explanation Debit Credit Jan. 2 Patents 54,000 cash 54,000 Jan.-June | Research and Development Expense 240,000 240,000 July 1 Patents 10,000 cash 10,000 Sept. 1 Advertising Expense 52,500 cash 52,500 Oct. 1 Copyrights 290,000 Cash 290,000 (b) Your answer is correct. Prepare journal entries to record the 2018 amortization expense for intangible assets. (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.) Date Account Titles and Explanation Dec. 31 Amortization Expense Debit Credit 13480 Patents 13480 (To record amortization of patents) Dec. 31 Amortization Expense 5450 Copyrights 5450 (To record amortization of copyrights) Click if you would like to Show Work for this question: Open Show Work SHOW LIST OF ACCOUNTS SHOW SOLUTION SHOW