Question

Joni Kingbird Inc. has the following amounts reported in its general ledger at the end of the current year.

Organization costs $23,100
Trademarks 14,300
Discount on bonds payable 36,100
Deposits with advertising agency for ads to promote goodwill of company 11,100
Excess of cost over fair value of net identifiable assets of acquired subsidiary 76,100
Cost of equipment acquired for research and development projects; the
equipment has an alternative future use 86,100
Costs of developing a secret formula for a product that is expected to
be marketed for at least 20 years 81,200

(a)

On the basis of this information, compute the total amount to be reported by Kingbird for intangible assets on its balance sheet at year-end.

Total amount reported for intangible assets $
Question 19 Joni Kingbird Inc. has the following a

Answer 1

Total amount reported for intangible assets: $90,400

Step-by-step explanation:

An intangible asset is an asset that is not physical in nature. Goodwill, brand recognition and intellectual property, such as patents, trademarks, and copyrights, are all intangible assets. Intangible assets exist in opposition to tangible assets, which include land, vehicles, equipment, and inventory

Among the listed items, tangible assets in Joni Kingbird Inc. include Trademarks of 14,300 and Excess of cost over fair value of net identifiable assets of acquired subsidiary 76,100. The total intangible asset is $90,400 .

Deposits with advertising agency for ads to promote goodwill of company 11,100, will not book in intangible asset as it’s just deposit now, the total cost after this work is completed will then book in intangible asset.