The intangible assets section of Ghani Corporation's balance sheet at December 31, 2017, is as follows :

Copyright #1: $36,000

Less: Accumulated amortization: 25,200 $10,800

Trademark 54,000

Goodwill 125,000

Total $189,000

The copyright was acquired in January 2011 and has an estimated useful life of 10 years. The trademark was acquired in January 2017 and is expected to have an indefinite useful life. The following cash transactions may have affected intangible assets during 2018.

Jan. 2 Paid $27,000 in legal costs to successfully defend the trademark against infringement by another company

Jul. 1 Developed a new product, incurring $210,000 in research costs and $50,000 in development costs. A patent was granted for the product on July 1, and its useful life is equal to its legal life

Sep. 1 Paid $60,000 to a popular hockey player to appear in commercials advertising the company's products. The commercials will air in September and October

Oct. 1 Acquired a second copyright for $180,000. The new copyright has an estimated useful life of five years

Dec.31 The company determined the fair market value of goodwill to be $85,000. This decline in value is believed to be a permanent impairment.

Instructions

a) Record the above transactions for 2018

b) Record the 2018 amortization expense for intangible assets