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Swifty Corp., a public company incorporated on June 28, 2019, set up a single account for all of its intangible assets. The following summary discloses

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Swifty Corp., a public company incorporated on June 28, 2019, set up a single account for all of its intangible assets. The following summary discloses the debit entries that were recorded during 2019 and 2020 in that account: July 1. 2019 $48.000 Oct 1 32,000 Dec 31 16,300 Feb. 15, 2020 INTANGIBLE ASSETS-SWIFTY 8-year franchise, expiration date of June 30, 2027 Advance payment on office lease (2-year lease) Net loss for 2019 including incorporation fee $1,000; related legal fees of organizing $5,400; expenses of recruiting and training staff for start-up of new business $4,100 Patent purchased (10-year life) Direct costs of acquiring a 5-year licensing agreement Goodwill purchased (indefinite life) Legal fee for successful defence of patent (see above) Costs of research department for year Royalties paid under licensing agreement (see above) 76,800 Mar 1 80,100 Apr. 1 311,400 June 1 12,815 Dec 31 75.000 31 2,775 The new business started up on July 2, 2019. No amortization was recorded for 2019 or 2020. The goodwill purchased on April 1. 2020, includes in process development costs that meet the six development stage criteria, valued at $179,000. The company estimates that this amount will help it generate revenues over a 10-year period. Prepare the necessary entries to clear the Intangible Assets account and to set up separate accounts for distinct types of intangibles. Make the entries as at December 31, 2020, and record any necessary amortization so that all balances are appropriate as at that date. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts. Round answers to decimal places, 68, 5.275.) Dec 31, 2020 Intangible Assets Licences 82875 Prepaid Rent 32000 Royalty Expense 2775 Retained Earnings Intangible Assets Patents 89615 Intangible Assets Franchises 48000 Intangible Assets Development Costs 179000 Research and Development Expense 254000 Goodwill 132400 Intangible Assets (To clear Intangible Assets account) Dec 31, 2020 Amortization Expense 6000 Retained Earnings 3000 Accumulated Amortization - Franchises 9000 (To correct for amortization on franchises) Dec 31, 2020 Rent Expense 16000 Retained Earnings 1000 Prepaid Rent 20000 Accumulated Amortization - Franchises 9000 (To correct for amortization on franchises) Dec 31, 2020 Rent Expense 16000 Retained Earnings 4000 Prepaid Rent 20000 TIETO (To correct for rent payments) Dec 31, 2020 Amortization Expense 8460 Accumulated Amortization Patents 8460 (To record amortization expense on patents) Dec 31, 2020 Amortization Expense 15555 I! Accumulated Amortization Licences 15555 (To record amortization expense on licences) Dec 31, 2020 Amortization Expense 25400 II Accumulated Amortization Development Costs 25400 (To record amortization expense on develonment resti

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