On January 1, 2015, Ted Purchased a Small Software Company

Multiple Choice

On January 1, 2015, Ted purchased a small software company for $200,000. He paid $120,000 for the fixed assets of the company and $80,000 for goodwill. How much amortization may Ted deduct on his 2015 tax return for the purchased goodwill?

A) $0
B) $5,333
C) $5,750
D) $6,000
E) $90,000