The Horstmeyer Corporation commenced operations early in 2021. A number of expenditures were made during 2021 that were debited to one account called intangible asset. A recap of the $233,000 balance in this account at the end of 2021 is as follows:

Date Transaction Amount

February 3 State incorporation fees and legal costs related to organizing the corporation $ 8,000

March 1 Fire insurance premium for three-year period 6,000

March 15 Purchased a copyright 37,000

April 30 Research and development costs 57,000

June 15 Legal fees for filing a patent on a new product resulting from an R&D project 6,000

September 30 Legal fee for successful defense of patent developed above 29,000

October 13 Entered into a 10-year franchise agreement with franchisor 57,000

Various Advertising costs 33,000

Total $ 233,000

Required:

Prepare the necessary journal entry to clear the intangible asset account and to set up accounts for separate intangible assets, other types of assets, and expenses indicated by the transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)