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As the recently appointed auditor for Sheffield Corporation, you have been asked to examine selected accounts before the 6-month financial statements of June 30, 2025, are prepared. The controller for Sheffield Corporation mentions that only one account is kept for intangible assets. The account is shown below.

Intangible Assets
				Debit		Credit		Balance
Jan. 4		Research and development costs		945,000				945,000
Jan. 5		Legal costs to obtain patent		75,600				1,020,600
Jan. 31		Payment of 7 months rent on property leased by Sheffield
			94,500				1,115,100
Feb. 11		Premium on common stock				245,000		870,100
March 31		Unamortized bond discount on bonds due March 31, 2045
			120,000				990,100
April 30		Promotional expenses related to start-up of business
			212,100				1,202,200
June 30		Operating losses for first 6 months		242,000				1,444,200

Prepare the entries necessary to correct this account. Assume that the patent has a useful life of 10 years. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)

Account Titles and Explanation	Debit	Credit
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
enter an account title to correct the account	enter a debit amount	enter a credit amount
(To correct the account)
enter an account title to record amortization expense	enter a debit amount	enter a credit amount
enter an account title to record amortization expense	enter a debit amount	enter a credit amount
(To record amortization expense)

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