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Question 1 Teal Mountain Industries has the following patents on its December 31,...

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Question 1 Teal Mountain Industries has the following patents on its December 31, 2016, balance sheet. Patent Item Patent A Patent B Patent C Useful Life at Date Acquired 17 years 10 years 4 years Initial Date Cost $42,636 3/1/13 $16,080 $18,720 Acquired The following events occurred during the year ended December 31, 2017 1. Research and development costs of $239,000 were incurred during the year, 2. Patent D was purchased on July 1 for $26,448. This patent has a useful life of 9/2 years. 3. As a result of reduced demands for certain products protected by Patent B, a possible impairment of Patent B's value may have occurred at December 31, 2017. The controller for Teal Mountain estimates the expected future cash flows from Patent B will be as follows. Year 2018 2019 2020 Expected Future Cash Flows $1,800 1,800 1,800 The proper discount rate to be used for these flows is 8%. (Assume that the cash flows occur at the end of the year.) (a) Compute the total carrying amount of Teal Mountain, patents on its December 31, 2016, balance sheet. (Round answer to 0 decimal places, eg. 8,564.) Total carrying amount s Attempts: 0 of 5 usedSAVE FOR LATER SUBN

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