During the audit of wood pharmaceuticals, you are surprised to find several controldeficiencies in the company's internal control. you determine that there is a reasonablepossibility that any one of them could result in a misstatement that is significant. although the odds are extremely low that the deficiencies, singly or taken together, willresult in a material misstatement of the company's financial statements, the large numberof problems causes you concern. management's written assessment concludes that thecompany's icfr was effective as of the report date.

Due to rapid employee turnover in the accounting department, the following transactions involving intangible assets were improperly recorded by bridgeport corporation. 1. bridgeport developed a new manufacturing process, incurring research and development costs of $195,600. the company also purchased a patent for $45,200. in early january, bridgeport capitalized $240,800 as the cost of the patents. patent amortization expense of $12,040 was recorded based on a 20-year useful life. 2. on july 1, 2017, bridgeport purchased a small company and as a result recorded goodwill of $52,000. bridgeport recorded a half-year’s amortization in 2017, based on a 20-year life ($1,300 amortization). the goodwill has an indefinite life. prepare all journal entries necessary to correct any errors made during 2017. assume the books have not yet been closed for 2017.