The following are selected 2014 transactions of Pedigo Corporation.
|
Jan. 1 |
Purchased a small company and recorded goodwill of $150,000. Its useful life is indefinite. |
|
May 1 |
Purchased for $75,000 a patent with an estimated useful life of 5 years and a legal life of 20 years. |
Instructions
Prepare necessary adjusting entries at December 31 to record amortization required by the events above.