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The intangible assets and goodwill reported by Sheridan Corporation at December 31, 2020, follow: Copyrights (#1) Less: Accumulated amortization Trademarks Goodwill $35,920 17,960 $ 17,960
The intangible assets and goodwill reported by Sheridan Corporation at December 31, 2020, follow: Copyrights (#1) Less: Accumulated amortization Trademarks Goodwill $35,920 17,960 $ 17,960 54,630 116,150 $188,740 Total A copyright (#1) was acquired on January 1, 2019, and has a useful life of four years. The trademarks were acquired on January 1, 2017, and are expected to have an indefinite life. The company has a December 31 year end and prepares adjusting journal entries annually. The following cash transactions may have affected intangible assets and goodwill during 2021: 5 Jan. July 1 Sept. 1 Paid $7,650 in legal costs to successfully defend the trademarks against infringement by another company. Developed a new product, incurring $208.200 in research and $47.300 in development costs with probable future benefits. The product is expected to have a useful life of 22 years. Paid $63.560 to a popular hockey player to appear in commercials advertising the company's products. The commercials will air in early September. Acquired another copyright (#2) for $168,000. The new copyright has a useful life of six years. Determined the fair value of the goodwill to be $93,320. There was no indication that the copyrights or trademarks were impaired. Oct. 1 Dec. 31 Date Account Titles and Explanation Debit Credit (To record research expense) A (To record development costs)
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