Intangible Long-Term Assets Track Town Co. had the following transactions involving intangible assets: Jan. 1 Purchased a patent for leather soles for $13,560 and estimated its useful life to be 12...

Extracted text: Intangible Long-Term Assets Track Town Co. had the following transactions involving intangible assets: Jan. 1 Purchased a patent for leather soles for $13,560 and estimated its useful life to be 12 years. Apr. 1 Purchased a copyright for a design for $10,400 with a life left on the copyright of 20 years. The estimated remaining (economic) life of the copyright is five years. July 1 Signed a 6-year franchise agreement and opened a Starting Line high-tech running shoe store. Paid $65,400 to the franchisor. Required: 1. Using the straight-line method, calculate the amortization of the patent, copyright, and Franchise. a. Patent b. Copyright $ c. Franchise $ 2. Prepare general journal entries to record the end-of-year amortizations. Page: 1 DOC. POST. NO. REF. DATE ACCOUNT TITLE DEBIT CREDIT 20-- 1 Dec. 31 Patent Amortization (Expense) 1 2 Patents 3 4 Dec. 31 Copyright Amortization (Expense) 4 Copyrights 5 6 6 7 Dec. 31 Franchise Amortization (Expense) 8 Franchise 8 9 9 II II