Problem 3 (Recording the correcting entry and Amortization of Intangibles) Chan Company has set up a single account Intangible Assets" for following transactions. This is a sequence of errors in recording the following transactions in the Intangible Assets account. The following summary discloses the debit entries that have been recorded in Intangible Assets Account during the year 2020. Purchased patent of Product A Jan/1/2020 $400,000 (remaining life of 5-year from 1/1/2020) Apr/1/2020 Goodwill indefinite life) 300,000 Jul/1/2020 Purchased franchise with 10-year life 100,000 Aug/1/2020 Payment of Broadcast License (Indefinite life) 200,000 Sep/1/2020 Development cost related to a research project for Product B ($240,000 incurred after economic viability test achieved) 500,000 (Patent - Product B with useful life of 20 years) $1,500,000 Instructions: (1) Prepare the necessary entries to cancel the Intangible Assets account and to set up separate accounts for distinct types of intangibles. Prepare the journal entry to record the correcting entries in a compound entry at December 31, 2020. (Partial entries are provided) 12/31/2020 Patent - Product A 400,000 Intangible Assets 1,500,000 (2) Prepare the impairment journal entry, if any, for the broadcast license assuming the Recoverable Amount is $ 170,000. (3) Prepare the amortization journal entries for Patent of Product A and Product B and Franchise and in three separate entries on December 31,2020. (Use straight-line amortization method)