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On January 1, 2016, Chloe Company purchased a patent for $900,000. Chloe expects to use the patent for 20 years and amortizes the patent using

On January 1, 2016, Chloe Company purchased a patent for $900,000. Chloe expects to use the patent for 20 years and amortizes the patent using the straight-line method. Chloe incurs $60,000 in legal costs to successfully defend the patent on January 1, 2020. Chloe estimates that the remaining useful life of the patent to be 10 years. Instructions: Prepare all necessary journal entries for 2020

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