Keith purchased the assets of a business on installment in October. In addition, he agreed to pay $36,000 ($1,000/month) for a covenant not to compete. How does Keith amortize this covenant?

1) What are the pertinent facts?

2) Is there additional information needed to answer the question?

3) What is the specific question(s) being asked?

4) What key words would you use to look up the answer?

5) What is your recommendation (answer) to the case / situation? Document resource(s) used for

recommendation / solution.