Sinise Industries acquired two copyrights during 2014. One copyright related to

Question

Sinise Industries acquired two copyrights during 2014. One copyright related to a textbook that was developed internally at a cost of $15,840. This textbook is estimated to have a useful life of 6 years from September 1, 2014, the date it was published. The second copyright (a history research textbook) was purchased from University Press on December 1, 2014, for $27,620. This textbook has an indefinite useful life.

How should these two copyrights be reported on Sinise’s balance sheet as of December 31, 2014?

0     -    Should not be reported on Balance SheetShould not be reported on Balance

Copyright No. 1

$

0     -    Should not be reported on Balance SheetShould not be reported on Balance

Copyright No. 2

$ ??

Should be reported on Balance SheetShould be reported on Balance

Explanation / Answer

Sinise's Balance Sheet As On Dec 31.2014. Copyrights Reporting Details Amt $ Remarks Copyright # 1                              -   As per USGAAP , it is not recognized as internally developed and inherent in continuing business Copyright # 2                     27,620 Recognized and as has indefinite life , no amortization done

Related Questions

Navigate

• Browse (All)
• Browse S
• Subjects

---