The intangible assets and goodwill reported by Sandhill Company at December 31,2023 , follow: Patent \#1 was acquired in January 2022 and has an estimated useful life of 10 years. Copyright \#1 was acquired in January 2018 and also has an estimated useful life of 10 years. The following cash transactions may have affected intangible assets and goodwill during the year 2024: Jan. 2 Paid $32,000 of legal costs to successfully defend Patent \#1 against infringement by another company. June 30 Developed a new product, incurring $185,000 in research costs and $57,600 in development costs, which were paid in cash. The development costs were directly related to Patent \#2, which was granted for the product on July 1 . Its estimated useful life is equal to its legal life of 20 years. Sept. 1 Paid $12,500 to an Olympic athlete to appear in commercials advertising the company's products. The commercials will air in September. Oct. 1 Acquired a second copyright for $19,200 cash. Copyright \#2 has an estimated useful life of six years. (a) Your answer is correct. Record the above transactions. (Credit occount titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry. Record journal entries in the order presented in the problem.) (b) Prepare any adjusting entries required at December 31,2024 , the company's year end, and update the account balances. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.)