On January $1,2022,$ Sheridan Company had a balance of $$363,000$ of goodwill on its balance sheet that resulted from

the purchase of a small business in a prior year. The goodwill had an indefinite life. During $2022,$ the company had the

following additional transactions.

Jan. $2$ Purchased a patent $(5-$year life$)$ $$341,250.$

July $1$ Acquired a $9-$year franchise; expiration date July $1,2031,$ $$590,400.$

Sept. $1$ Research and development costs $$181,000.$

$($a$)$ and $($b$)$

$($a$)$ Prepare a tabular summary to record the January $1$ balance in the Goodwill account as well as the $2022$

transactions related to intangibles. All costs incurred were for cash.

$($b$)$ Record any necessary amortization as of December $31,2022.$

$($If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative

sign $($or parentheses$)$ in front of the amount entered for the particular Asset, Liability or Equity

item that was reduced.$)\backslash$table$[[,,$Assets,$=$ Liabilities $+,$Stockholders' Equity,$],[,,,,,,,,,,,,,,,,$tained Earnings,,$],[,,,$Cash,$+,$Patents,$+,$Franchise,$+,$Goodwill,$=,+,$Common Stock,$+,$Revenue,$-,$Expense,$-,$Dividend$],[($a$),$Bal.,$$,,$$$,,,,$$$,,,$$$,,$$$,,$$$,,$$$,],[,$Jan. $2,,,,,,,,,,,,,,,,,],[,$July $1,,,,,,,,,,,,,,,,,],[,$Sept. $1,,,,,,,,,,,,,,,,,],[,$Dec. $31,,,,,,,,,,,,,,,,,]]$On January $1,2022,$ Sheridan Company had a balance of $$363,000$ of goodwill on its balance sheet that resulted from the purchase of a small business in a prior year. The goodwill had an indefinite life. During $2022,$ the company had the following additional transactions

Jan. $2$ Purchased a patent $(5-$year life$)$ $$341,250$

July $1$ Acquired a $9-$year franchise; expiration date July $1,2031,$ $$590,400$

Sept. $1$ Research and development costs $$181,000$

$($a$)$ and $($b$)$

$($a$)$ Prepare a tabular summary to record the January $1$ balance in the Goodwill account as well as the $2022$ ransactions related to intangibles. All costs incurred were for cash.

$($b$)$ Record any necessary amortization as of December $31,2022.$

$($If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign $($or parentheses$)$ in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.$)$