Transcribed Image Text
In: AccountingThe following information is available for Ivanhoe Company. 1.Purchased a copyright on January 1, 2020...The following information is available for Ivanhoe Company. 1.Purchased a copyright on January 1, 2020 for $62,400. It isestimated to have a 10-year life. 2. On July 1, 2020, legal feesfor successful defense of the copyright purchased on January 1,2020, were $17,784.Prepare the journal entries to record all the events related tothe copyright during 2020. (Credit account titles areautomatically indented when the amount is entered. Do not indentmanually.)Jan 1st 2020, July 1st, 2020, Dec 31st, 2020At December 31, 2021, an impairment test is performed on thecopyright purchased in 2020.It is estimated that the net cash flows to be received from thecopyright will be $62,400, and its fair value is $59,280. Theaccumulated amortization at the end of 2021 was $15,288. Computethe amount of impairment, if any, to be recorded on December 31,2021. (If there is a loss on impairment, then enteramounts using either a negative sign preceding the number e.g. -45or parentheses e.g. (45).)Amount of impairment$