Presented below is information related to copyrights owned by Wamser Corporation at

December $31,2023.$

Cost $2,700,000$

Carrying amount $2,350,000$

Recoverable amount $1,500,000$

Assume Wamser will continue to use this asset in the future. As of December $31,2023,$ the

copyrights have a remaining useful life of $5$ years.

Instructions

$($a$)$ Prepare the journal entry $($if any$)$ to record the impairment of the asset at December $31,2023.$

$($b$)$ Prepare the journal entry to record amortization expense for $2024.$

$($c$)$ The recoverable amount of the copyright at December $31,2024$ is $1,600,000.$ Prepare the

journal entry $($if any$)$ necessary to record this increase in fair value.