Assume That Brittany Acquires a Competitor's Assets on September 30ᵗʰ

Multiple Choice

Assume that Brittany acquires a competitor's assets on September 30ᵗʰ of year 1 for $350,000. Of that amount, $300,000 is allocated to tangible assets and $50,000 is allocated equally to two §197 intangible assets (goodwill and a 1-year non-compete agreement) . Given, that the non-compete agreement expires on September 30ᵗʰ of year 2, what is Brittany's amortization expense for the second year? (Round final answer to the nearest whole number.)

A) $0
B) $1,667
C) $2,917
D) $3,333
E) None of the choices are correct.