Presented below is selected information for Sheridan Company.

Answer the questions asked about each of the factual situations.

1. Sheridan purchased a patent from Vania Co. for $1,160,000 on January 1, 2015. The patent is being amortized over its remaining legal life of 10 years, expiring on January 1, 2025. During 2017, Sheridan determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition. What amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2017?

The amount to be reported
$

2. Sheridan bought a franchise from Alexander Co. on January 1, 2016, for $330,000. The carrying amount of the franchise on Alexander’s books on January 1, 2016, was $480,000. The franchise agreement had an estimated useful life of 30 years. Because Sheridan must enter a competitive bidding at the end of 2018, it is unlikely that the franchise will be retained beyond 2025. What amount should be amortized for the year ended December 31, 2017?

The amount to be amortized
$

3. On January 1, 2017, Sheridan incurred organization costs of $265,000. What amount of organization expense should be reported in 2017?

The amount to be reported
$

4. Sheridan purchased the license for distribution of a popular consumer product on January 1, 2017, for $146,000. It is expected that this product will generate cash flows for an indefinite period of time. The license has an initial term of 5 years but by paying a nominal fee, Sheridan can renew the license indefinitely for successive 5-year terms. What amount should be amortized for the year ended December 31, 2017?

The amount to be amortized
$

Presented below is selected information for Sheridan Company. Answer the questions asked about each of the factual situations.

1. Sheridan purchased a patent from Vania Co. for $1,160,000 on January 1, 2015. The patent is being amortized over its remaining legal life of 10 years, expiring on January 1, 2025. During 2017, Sheridan determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition. What amount should be reported in the balance sheet for the patent, net of accumulated amortization, at December 31, 2017? The amount to be reported $

2. Sheridan bought a franchise from Alexander Co. on January 1, 2016, for $330,000. The carrying amount of the franchise on Alexander’s books on January 1, 2016, was $480,000. The franchise agreement had an estimated useful life of 30 years. Because Sheridan must enter a competitive bidding at the end of 2018, it is unlikely that the franchise will be retained beyond 2025. What amount should be amortized for the year ended December 31, 2017? The amount to be amortized $

3. On January 1, 2017, Sheridan incurred organization costs of $265,000. What amount of organization expense should be reported in 2017? The amount to be reported $

4. Sheridan purchased the license for distribution of a popular consumer product on January 1, 2017, for $146,000. It is expected that this product will generate cash flows for an indefinite period of time. The license has an initial term of 5 years but by paying a nominal fee, Sheridan can renew the license indefinitely for successive 5-year terms. What amount should be amortized for the year ended December 31, 2017? The amount to be amortized $

E12-4 (L01,2,5) (Intangible Amortization) The following is selected information for Alatorre Company.
1. Alatorre purchased a patent from Vania Co. for $1,000,000 on January 1, 2015. The patent is being amortized over its remaining legal life of 10 years, expiring on January 1, 2025. During 2017, Alatorre determined that the economic benefits of the patent would not last longer than 6 years from the date of acquisition. What amount should be reported in the bal-ance sheet for the patent, net of accumulated amortization, at December 31, 2017?
2. Alatorre bought a franchise from Alexander Co. on January 1, 2016, for $400,000. The carrying amount of the franchise on Alexander’s books on January 1, 2016, was $500,000. The franchise agreement had an estimated useful life of 30 years. Because Alatorre must enter a competitive bidding at the end of 2018, it is unlikely that the franchise will be retained beyond 2025. What amount should be amortized for the year ended December 31, 2017?
3. On January 1, 2017, Alatorre incurred organization costs of $275,000. What amount of organization expense should be reported in 2017?
4. Alatorre purchased the license for distribution of a popular consumer product on January 1, 2017, for $150,000. It is expected that this product will generate cash flows for an indefinite period of time. The license has an initial term of 5 years but by paying a nominal fee, Alatorre can renew the license indefinitely for successive 5-year terms. What amount should be amortized for the year ended December 31, 2017?
Instructions Answer the questions asked about each of the factual situations.

Roadside Travel Court was organized on July 1, 2016, by Betty Johnson. Betty is a good manager but a poor accountant. From the trial balance prepared by a part-time bookkeeper, Betty prepared the following income statement for her fourth quarter, which ended June 30, 2017.

Betty suspected that something was wrong with the statement because net income had never exceeded $30,000 in any one quarter. Knowing that you are an experienced accountant, she asks you to review the income statement and other data.

You first look at the trial balance. In addition to the account balances reported above in the income statement, the trial balance contains the following additional selected balances at June 30, 2017.

You then make inquiries and discover the following.

Prepare any adjusting journal entries required at June 30, 2017. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually.)

eTextbook and Media

List of Accounts

Prepare a correct income statement for the quarter ended June 30, 2017.

Closing the Balances in The Variance Accounts at the End of the Year

Yohan Company has the following balances in its direct materials and direct labor variance accounts at year-end:

Unadjusted Cost of Goods Sold equals $1,520,000, unadjusted Work in Process equals $326,000, and unadjusted Finished Goods equals $180,000.

Required:

1. Assume that the ending balances in the variance accounts are immaterial and prepare the journal entries to close them to Cost of Goods Sold. Note: Close the variances with a debit balance first. If an amount box does not require an entry, leave it blank or enter "0".

What is the adjusted balance in Cost of Goods Sold after closing out the variances?

2. What if any ending balance in a variance account that exceeds $10,000 is considered material? (a) Close the immaterial variance accounts to Cost of Goods Sold. (b) Prorate the largest of the labor variances among Cost of Goods Sold, Work in Process, and Finished Goods on the basis of prime costs in these accounts. (c) Prorate the largest of the material variances among Cost of Goods Sold, Work in Process, and Finished Goods on the basis of prime costs in these accounts. The prime cost in Cost of Goods Sold is $1,050,000, the prime cost in Work in Process is $166,000, and the prime cost in Finished Goods is $134,000. If an amount box does not require an entry, leave it blank or enter "0".

Note: Round all interim calculations to three decimal places, and round your final answers to the nearest dollar. Adjust credit entry for rounding to ensure debits equal credits in journal entry.

The introduction to this chapter described the behavior of consumer spending at the end of 2008. Explain this phenomenon in terms of the analysis presented in this chapter.

Q1: Assume that there is a simultaneous increase in government spending and a monetary contraction. In a flexible exchange rate regime, we know with certainty that such a policy mix will cause which of the following?
Group of answer choices
A decrease in output.
A decrease in the domestic interest rate.
None of the other answers is correct.
A depreciation of the domestic currency.
A decrease in net exports.

Q2: As product markets become more competitive and the mark-up ratio decreases, we would expect which of the following to occur?
Group of answer choices
an increase in the interest rate in the medium run
an increase in output in the medium run
none of the other answers is correct.
no change in the real wage in the medium run
an increase in the aggregate price level in the medium run

Q3: Question 13 1 pts
Suppose there is an increase in government spending in a closed economy. In medium-run such a fiscal policy will cause:
Group of answer choices
the neutral real interest rate to rise
the nominal wage to rise
no change in the neutral real interest rate
ambiguous effects on the neutral real interest rate
none of the other answers is correct

Q4: As an economy adjusts to a decrease in the saving rate, according to Solow model, we would expect output per worker
Group of answer choices
to return to its original level.
to decrease at a constant rate and continue decreasing at that rate in the steady state.
to increase at a permanently higher rate.
none of the other answers is correct.
to decrease at a permanently higher rate.

Plot an Isocost line for a firm that is spending $10,000 on labor and capital. Then, draw a Cobb-Douglas Isoquant for this firm that intersects your Isocost curve. Label the two intersection points A and B. Draw a second Isosquant that is just tangent to the Isocost curve, and label the point of tangency point C. Explain why it would not be efficient for this firm to produce at point A nor point B.

If government spending is decreased by $300, taxes are increased by $300, and the MPC is 0.5, equilibrium output will change by Select one

: a. $0. b. $150. c. $300. d. $600. e. $900.