The following data relates to a patent owned by Sophia Cosmetology Group: Cost $2,400,000 Carrying amount 1,700,000 Expected future net cash flow 1,500,000 Fair value 1,400,000)

(a) Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2016.

(b) Using the same assumption as part (a) above, prepare the journal entry to record amortization expense for 2017 assuming the asset has a remaining useful life of 3 years at the beginning of 2017.

(c) Using the same assumption as part (a) above, prepare the journal entry (if any) at December 31, 2017, assuming the fair value of the asset has increased to $1,900,000.

(d) Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2016, assuming Sophia ceased using the patent at the end of 2016 and intends to dispose of the patent in the coming year. Sophia expects to incur a $10,000 cost of disposal.