Question

Meyer Media produced several screenplays that they turned into movies. Each screenplay they use has a copyright. In which section of the financial statements should they record these copyrights?

A. in the property, plant, and equipment section of the balance sheet
B. in the intangible assets section of the balance sheet
C. in the stockholders’ equity section of the balance sheet
D. in the expenses section of the income statement

Answer 1

B. in the intangible assets section of the balance sheet

Step-by-step explanation:

In the given question, the Meyer media produces several screenplays. By using each screenplay it has a copyright and we know that copyright is an intangible asset which comes under the intangible asset section under the asset side of the balance sheet.

And the intangible assets include patents, goodwill, trademark, etc.

The rest options are incorrect.