The following are selected 2008 transactions of Franco Corporation.

Jan. 1	Purchased a small company and recorded goodwill of$196,200. Its useful life is indefinite.
May 1	Purchased for $87,110 a patent with an estimateduseful life of 5 years and a legal life of 20 years.

Instructions

Prepare necessary adjusting entries at December 31 to recordamortization required by the events above. (If there is no transaction, enter No entry as thedescription and 0 for the amount. Round answers to 0 decimalplaces, e.g. 125.)

Date	Account /Description	Debit	Credit
Dec. 31	Accounts payable Amortization expense-Patent No entry Patent Goodwill Amortization expense-Goodwill Cash Accounts receivable Accumulated amortization-Patent Accumulated amortization-Goodwill	$
Amortization expense-Patent Accounts receivable Accounts payable Accumulated amortization-Patent No entry Patent Goodwill Amortization expense-Goodwill Accumulated amortization-Goodwill Cash	$
(To record goodwill.)
Dec. 31	No entry Goodwill Accounts payable Patent Accounts receivable Amortization expense-Patent Accumulated amortization-Patent Cash Amortization expense-Goodwill Accumulated amortization-Goodwill	$
Accumulated amortization-Goodwill Accumulated amortization-Patent Cash Accounts receivable Accounts payable Goodwill Amortization expense-Goodwill Amortization expense-Patent No entry Patent	$
(To record patent.)