On June 1,2013,Red Corporation Purchased an Existing Business

question 51

Multiple Choice

On June 1,2013,Red Corporation purchased an existing business.With respect to the acquired assets of the business,Red allocated $300,000 of the purchase price to a patent.The patent will expire in 20 years.Determine the total amount that Red may amortize for 2013 for the patent.

• A)$0.
• B)$1,667.
• C)$11,667.
• D)$35,000.
• E)None of the above.

---

Definitions:

Magnetic Resonance Imaging

An imaging test that uses a magnetic field and radio waves to create detailed images of the organs and tissues within the body.

Radiation Absorbed Dose

A unit of measurement for the amount of radiation energy absorbed by a mass of material, typically tissue.

CT

Computed Tomography, an imaging procedure that uses special x-ray equipment to create detailed pictures, or scans, of areas inside the body.

AP

stands for Anteroposterior, a term used in radiology to describe the direction of an X-ray beam from front to back.