Kingbird Golf and Sports was formed on July 1, 2020, when Steve Powerdriver purchased Old Master Golf Corporation. Old Master provides video golf instruction at kiosks in shopping malls. Powerdrivers plan is to make the instruction business part of his golf equipment and accessory stores. Powerdriver paid $630,000 cash for Old Master. At the time of purchase, Old Masters statement of financial position reported assets of $550,000 and liabilities of $100,000 (shareholders equity was $450,000). The fair value of Old Masters identifiable assets was estimated to be $670,000. Included in the identifiable assets was the Old Master trade name with a fair value of $10,000 and a copyright on some instructional books with a fair value of $18,000. The trade name had a remaining legal life of five years and can be renewed indefinitely at nominal cost. The copyright had a remaining life of 40 years. Assume that Kingbird Golf and Sports is a private company reporting under ASPE.

Part 1: Already Solved (see below for part 2 help)

Part 2: How much amortization expense is included in Kingbirds income for the year ended December 31, 2020?

Kingbird Golf and Sports INTANGIBLES AND GOODWILL SECTION OF STATEMENT OF FINANCIAL POSITION December 31, 2020 Intangible Assets - Trade N 10000 Intangible Assets - Copyrig 17775 27775 Goodwill 60000