Question

The general ledger of ABC Corporation as of December 31, 2021, includes the following accounts: Copyrights $50,000 Deposits with advertising agency (will be used to promote goodwill) 30,000 Discount on bonds payable 70,000 Excess of cost over fair value of identifiable net assets of acquired 80,000 Trademarks 90,000 Equity Investments 100,000 Patents 20,000 In the preparation of ABC balance sheet as of December 31, 2021, what should be reported as total intangible assets

Answer 1

Answer:

$240,000

Explanation:

Calculation to determine what should be reported as total intangible assets

Using this formula

Total intangible assets=Copyrights+Excess of cost over fair value of identifiable net assets of acquired+Trademarks+Patents

Let Plug in the formula

Total intangible assets=$50,000 + $80,000 + $90,000 +$20,000

Total intangible assets=$240,000

Therefore The Amount that should be reported as total intangible assets is $240,000