Advanced Design Sales Acquired a Patent on January 1 for $35,000

question 74

Essay

Advanced Design Sales acquired a patent on January 1 for $35,000. The patent is expected to be of benefit to Advanced Design Sales for 5 years. Prepare the journal entry to record the acquisition of the patent and the amortization expense for the first year.

Understand how Windows 10 manages devices and hardware settings, including automatic installations and optimizations.

Recognize the importance and methods of maintaining system performance through updates, defragmentation, and optimization.

Grasp Windows 10’s security features including Windows Defender Firewall and privacy settings adjustments.

Know how to monitor and update Windows 10 to enhance performance and security.

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Definitions:

EBITDA

Earnings Before Interest, Taxes, Depreciation, and Amortization, a measure of a company's operating performance.

Revenue

The total amount of money generated from the sale of goods, services, or any other use of capital or assets, before any expenses are deducted.

Inventory Level

The number of units of products or materials that are kept in stock by a business.

Period Cost

Costs that are taken directly to the income statement as an expense in the period in which they are incurred, not directly tied to the production of inventory.