On January 1, 2015, a patent with a book value of $288,000 and a remaining useful life of fourteen years was reported on the December 31, 2014 post-closing trial balance. In 2015, a further $140,000 of research costs was incurred during the research phase. A lawsuit was also brought against a competitor company regarding the use of a patented process for which legal costs of $42,000 were spent. On September 1, 2015, the lawsuit was concluded successfully and the courts upheld the patent as valid, so the competitor would not be able to continue using the patented process. The company year-end is December 31 and follows IFRS.

Required: What amount should be reported on the SFP at December 31, 2015, assuming straight-line amortization?

Found something interesting ?

• On-time delivery guarantee
• PhD-level professional writers
• Free Plagiarism Report

• 100% money-back guarantee
• Absolute Privacy & Confidentiality
• High Quality custom-written papers

Related Model Questions

Feel free to peruse our college and university model questions. If any our our assignment tasks interests you, click to place your order. Every paper is written by our professional essay writers from scratch to avoid plagiarism. We guarantee highest quality of work besides delivering your paper on time.

Grab your Discount!

25% Coupon Code: SAVE25
get 25% !!