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Presented below is information related to a copyright owned by Cullumber Company at December $31,2025.$

Assume that Cullumber Company will continue to use this copyright in the future. As of December $31,2025,$ the copyright is

estimated to have a remaining useful life of $10$ years.

$($a$)$

Your answer is correct.

Prepare the journal entry to record the impairment of the asset at December $31,2025.$ The company does not use accumulated

amortization accounts. $($If no entry is required, select $"$No Entry" for the account titles and enter O for the amounts. Credit account titles

are automatically indented when amount is entered. Do not indent manually. List debit entry before credit entry.$)$

Your answer is correct.

Prepare the journal entry to record amortization expense for $2026$ related to the copyrights. $($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 amount is entered. Do not

indent manually. List debit entry before credit entry.$)$

Account Titles and Explanation

Debit

Credit

Amortization Expense

$337000$

Copyrights

$337000$

eTextbook and Media

List of Accounts

Attempts: $1$ of $2$ used

$($c$)$

The fair value of the copyright at December $31,2026,$ is $$3,660,000.$ Prepare the journal entry necessary to record the increase in

fair value. $($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 amount is entered. Do not indent manually. List debit entry before credit entry.$)$

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