Problem 9-5A The intangible assets section of Amato Corporation's balance sheet at December 31, 2017, is presented here. Patents ($60,000 cost less $6,000 amortization) Copyrights ($36,000 cost less $25,200 amortization) Total $54,000 10,800 $64,800 The patent was acquired in January 2017 and has a useful life of 10 years. The copyright was acquired in January 2011 and also has a useful life of 10 years. The following cash transactions may have affected intangible assets during 2018. Jan. 2 Paid $46,800 legal costs to successfully defend the patent against infringement by another company. Jan.- June Developed a new product, incurring $230,000 in research and development costs. A patent was granted for the product on July 1, and its useful life is equal to its legal life. Legal and other costs for the patent were $20,000. Sept. Oct. 1 Paid $40,000 to a quarterback to appear in commercials advertising the company's products. The commercials will air in September and October. 1 Acquired a copyright for $200,000. The copyright has a useful life and legal life of 50 years.