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Please answer the attached question. Dead line at noon tomorrow :( Cannot figure this out to save my life right now. 2- Montana Matt's Golf

Please answer the attached question. Dead line at noon tomorrow :( Cannot figure this out to save my life right now.

image text in transcribed 2- Montana Matt's Golf Inc. was formed on July 1, 2013, when Matt Magilke purchased the Old Master Golf Company. Old Master provides video golf instructions at kioskis in shopping malls. Magilke plans to integrate the instructional business into his golf equipment and accessory stores. Magilke paid $770,000 cash for Old Master. At the time, Old Master's balance sheet reported assets of $650,000 and liablities of $200,000 (thus owners' equity was $450,000). The fair value of Old Master's assets is estimated to be $800,000. Included in the assets is the Old Master trade name with a fair value of $10,000 and a copyright on some instructional books with a fair value of $24,000. The trade name has a remaining life of 5 years and can be renewed at nominal cost indefinitely. The copyright has a remaining life of 40 years. Instructions: a) Prepare the intangible assets section of Montana Matt's Golf Inc. at December 31, 2013. How much amortization expense is included in Montana Matt's income for the year ended December 31, 2013? Show all supporting computations. b) Prepare the journal entry to record amortization expense for 2014. Prepare the intangible assets section of Montana's Matt Golf Inc. at December 31, 2014. (No impairments are required to be recorded in 2014). c) At the end of 2015, Magilke is evaluating the results of the instructional business. Due to fierce competition from online and television (e.g., Golf Channel), the Old Master reporting until has been losing money. Its book value is now $500,000. The fair value of the Old Master reporting unit is $420,000. The implied value of goodwill is $90,000. Magilke has collected the following information related to the company's intangible assets. Intangible Assets Trade Names Copyrights Expected Cash Flows (undiscounted) Fair Values $ 9,000 $ 3,000 $30,000 $25,000 Prepare the journal entries required, if any, to record impairments on Montana Matt's intangible assets. (Assume that any amortization for 2015 has been recorded.) Show supporting computations

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