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On December 31, Bowman Company Estimated That Goodwill of $80,000

question 148

Essay

On December 31, Bowman Company estimated that goodwill of $80,000 was impaired. In addition, a patent with an estimated useful economic life of 10 years was acquired for $252,000 on June 1.
Required:
(1) Journalize the adjusting entry on December 31 for the impaired goodwill.
(2) Journalize the adjusting entry on December 31 for the amortization of the patent rights.


Definitions:

Electrical Shock

The physical reaction or injury caused by electric current passing through the body.

Disconnect Items

The action of separating or removing items from a system or collection, often to prevent interaction or functionality.

Legal

Pertaining to laws, regulations, and the judicial system, often in the context of compliance and obligations.

Restraints

Devices or methods used to limit the movements of a patient to prevent harm to themselves or others.

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