Question 3 (8 Points):

XYZ company report the following about its copyright:

1- 1/1/2018 the account of the copyright created by $1000,000.

2- 31/12/2019 the carrying value of the copyright was $950,000.

3- 31/12/2019 the fair value of the copyright was $900,000.

4- The copyright has a remaining useful life of 5 years.

Instruction:

1- Prepare the journal entry (if any) to record the impairment of the asset on December 31, 2019.

2- Prepare the journal entry to record the amortization of the copyright on December 31, 2019