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-   -   Do you prepare reversing entry for patent amortization? (https://www.askmehelpdesk.com/showthread.php?t=786197)

  • Mar 6, 2014, 02:17 PM
    futurecpa
    Do you prepare reversing entry for patent amortization?
    The company holds a patent on a toy which is amortized during year-end adjustments. The $25,000 patent's economic life is 10 years although the legal life is 20 years.

    My adjusting entry:

    Patent Amortization 2,500
    Patent 2,500

    My reversing entry:

    Patent 2500
    Patent Amortization 2500
  • Mar 7, 2014, 11:32 AM
    Fidget1
    No, you don't do a reversing entry for amortising/depreciating anything.

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