Orange Inc purchased Patent A for $50,000 and spent $75,000 internally to create a product that they ultimately received a patent for.  When Patent A was purchased, Orange estimated it had a remaining useful life of 16 years, which is the same as the remaining legal life.  What is the journal entry to record one year’s amortization? DR:  [account1]     [amount1]      CR:  [account2]     [amount1]

Services due to a customer who has paid in advance is generally called

Orange Inc purchased Patent A for $50,000 and spent $75,000 internally to create a product that they ultimately received a patent for.  When Patent A was purchased, Orange estimated it had a remaining useful life of 16 years, which is the same as the remaining legal life.  What is Orange’s annual amortization expense related to Patent A?

On October 16, 2020, Pink Inc, issues a $12,000 9% 180 day note payable in exchange for cash. What is the journal entry to record the issuance of the note? DR:  [account1]     [amount]      CR:  [account2]     [amount]   

Orange Inc purchased Patent A for $50,000 and spent $75,000 internally to create a product that they ultimately received a patent for. What is the total value of Orange’s patents?

What is the legal life of a patent?

On October 16, 2020, Pink Inc, issues a $12,000 9% 180 day note payable in exchange for cash. How much interest will Pink have to pay when the notes matures?

On November 1, 2020 Jackson Inc issues a $5,000 90 day note payable bearing interest of 6%. What is the journal entry Jackson would record when the note matures (when they pay it off)? (Assuming they did not book a year end AJE to accrue interest) [DR]  [account1]     [amount1] [DR]  [account2]     [amount2] [cr]    [account3]     [amount3]

Grapefruit Inc. purchased Tangelo Inc for $1,000,000. Included in the purchase were tangible net assets with a fair value of $550,000 plus a patent valued at $100,000 and a copyright valued at $75,000. On year later, Grapefruit estimates the goodwill related to this purchase has a value of 100,000. What, if any,  journal entry should Grapefruit record? DR:  [account1]      [amount1]      CR:  [acccount2]      [amount2]

On October 16, 2020, Pink Inc, issues a $12,000 9% 180 day note payable in exchange for cash. On what day does the note mature?