35 ) Factors considered in determining an intangible asset ’ s useful life include all of the following EXCEPT 36 ) The cost of purchasing patent rights for a product that might other wise have seriously competed with one of the purchaser ’ s patented pr oducts should be 37 ) Malrom Manufacturing Company acquired a patent on a manufact uring process on January 1 , 2006 for $ 10,000,000 . It was expected to have a 10 year life and no residual value . Malrom uses straightline amortization for patents . On December 31 , 2007 , the expected fut ure cash flows expected from the patent were expected to be $ 800,000 per year for the next eight years . The present value of these cash flow s , discounted at Malrom ’ s market interest rate , is $ 4,800,000 . At what amount should the patent be carried on the December 31 , 2007 balan ce sheet ? 38 ) Mining Company acquired a patent on an oil extraction technique on January 1 , 2006 for $ 5,000,000 . It was expected to have a 10 year l ife and no residual value . Mining uses straightline amortization for patents . On December 31 , 2007 , the expected fut ure cash flows expected from the patent were expected to be $ 600,000 per year for the next eight years . The present value of these cash flow s , discounted at Mining ’ s market interest rate , is $ 2,800,000 . At what amount should the patent be carried on the December 31 , 2007 balanc e sheet ? 39 ) General Products Company bought Special Products Division in 2 006 and appropriately booked $ 250,000 of goodwill related to the pur chase . On December 31 , 2007 , the fair value of Special Products Divi sion is $ 2,000,000 and it is carried on General Product ’ s books for a t otal of $ 1,700,000 , including the goodwill . An analysis of Special Pro ducts Division ’ s assets indicates that goodwill of $ 200,000 exists on December 31 , 2007 . What goodwill impairment should be recognized by General Products in 2007 ? 40 ) The intangible asset goodwill may be 41 ) The reason goodwill is sometimes referred to as a master valuatio n account is because 42 ) Goodwill 43 ) If a shortterm obligation is excluded from current liabilities because of refinanc