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

a$.$ On January $1,2024,$ UTS completed the purchase of Heinrich Corporation for $$2,592,000$ in cash. The fair value of the net

identifiable assets of Heinrich was $$2,300,000.$

b$.$ Included in the assets purchased from Heinrich was a patent valued at $$90,800.$ 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 $8$ more years.

c$.$ UTS acquired a franchise on July $1,2024,$ by paying an initial franchise fee of $$334,000.$ The contractual life of the franchise is $10$

years.

Required:

Compute goodwill arising from the purchase of Heinrich Corporation.

Determine the amortization expense for each of the intangible assets.

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

Complete this question by entering your answers in the tabs below.

Req $1$ and $2$

Req $3$

Compute goodwill arising from the purchase of Heinrich Corporation.

Determine the amortization expense for each of the intangible assets.