At the beginning of this year, Brandon Corporation entered into business acquisition. As a result of...

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At the beginning of this year, Brandon Corporation entered intobusiness acquisition. As a result of the acquisition, Brandonreported the following intangible assets:
Patent $480,000
Franchise Agreement $350,000
Copyright $150,000
Goodwill $550,000
Total: $1,530,000
The patent expires in 12 years. The franchise agreement expiresin 7 years but can be renewed indefinitely at a minimal cost. Thecopyright is expected to be sold at the end of 20 years for$30,000. Use the straight-line amortization method to calculate thetotal carrying value of Brandon's intangible assets at the end ofthe year.

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Amortization is writing down the value of intangible assets over the life of the asset Formula to calculate annual amortization under straight line method Amortization expense CostSalvage See Answer

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At the beginning of this year, Brandon Corporation entered intobusiness acquisition. As a result of the acquisition, Brandonreported the following intangible assets:Patent $480,000Franchise Agreement $350,000Copyright $150,000Goodwill $550,000Total: $1,530,000The patent expires in 12 years. The franchise agreement expiresin 7 years but can be renewed indefinitely at a minimal cost. Thecopyright is expected to be sold at the end of 20 years for$30,000. Use the straight-line amortization method to calculate thetotal carrying value of Brandon's intangible assets at the end ofthe year.