Jorge purchased a copyright for use in his business in the current year. The purchase occurred on July 15^th and the purchase price was $75,000. If the patent has a remaining life of 75 months, what is the total amortization expense Jorge may deduct during the current year? A) $0 B) $5,500 C) $6,000 D)$12,000 E)None of these

Question

Quizplus · Accepted Answer

The amortization expense is calculated as (purchase price / remaining months of life) * (number of months held in the current year).

So, (75,000 / 75) * 6 = $6,000.

Therefore, the total amortization expense Jorge may deduct during the current year is $6,000.

Jorge Purchased a Copyright for Use in His Business in the Current