Mikkeli OY acquired a brand name with an indefinite life in $2020$ for $44,800$ markkas. At December $31,2020,$ the brand name could be

sold for $36,500$ markkas, with zero costs to sell. Expected cash flows from the continued use of the brand are $47,050$ markkas, and the

present value of this amount is $35,500$ markkas.

Assume that Mikkeli OY is a foreign company using IFRS and is owned by a company using U$.$S$.$ GAAP. Thus, IFRS balances must be

converted to U$.$S$.$ GAAP to prepare consolidated financial statements. Ignore income taxes.

Required:

a$.$ Prepare journal entries for this brand name for the year ending December $31,2020,$ under $(1)$ IFRS and $(2)$ U$.$S$.$ GAAP.

b$.$ Prepare the entry$($ies$)$ that the U$.$S$.$ parent would make on the December $31,2020$ conversion worksheet to convert IFRS balances

to U$.$S$.$ GAAP. What entry$($ies$),$ if any, would be made at $12/31/21,$ assuming that the Brand has suffered no further impairment in $2021.$