Solution-Compute bobs amortization deduction for the year

Compute bobs amortization deduction for the year of purchase

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Reference no: EM132318464

Question

Bob Drake purchased substantially all of the business assets of the Stevens Ice Cream on January 17. As part of the purchase price he paid $200,000 for the patent on an ice cream making process. Bob paid $20,000 for the business's goodwill and another $20,000 for the seller's covenant not to compete for the next five years. Compute Bob's amortization deduction for the year of purchase.

Reference no: EM132318464

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Compute bobs amortization deduction for the year of purchase : Bob Drake purchased substantially all of the business assets of the Stevens Ice Cream on January 17. As part of the purchase price he paid $200,000.

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Compute bobs amortization deduction for the year of purchase

Reference no: EM132318464

Reference no: EM132318464

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