The following information relates to the intangible assets of University Testing Services $($UTS$)$:

On January $1,2024,$ UTS completed the purchase of Heinrich Corporation for $$3,408,000$ in cash. The fair value of the net identifiable assets of Heinrich was $$3,100,000.$

Included in the assets purchased from Heinrich was a patent valued at $$104,850.$ The original legal life of the patent was $20$ years; there are $12$ years remaining, but UTS believes the patent will be useful for only nine more years.

UTS acquired a franchise on July $1,2024,$ by paying an initial franchise fee of $$292,800.$ The contractual life of the franchise is $8$ years.

Required:

$1.$ Record amortization expense for the intangible assets at December $31,2024.$

$2.$ Prepare the intangible asset section of the December $31,2024,$ balance sheet.