Alaska Mining Co. acquired mineral rights for $67,500,000. The mineral deposit is estimated at 30,000,000 tons. During the current year, 4,000,000 tons were mined and sold. a. Determine the amount of depletion expense for the current year. Round the depletion rate to two decimals places. $fill in the blank b845aef25fdffad_1 b. Journalize the adjusting entry on December 31 to recognize the depletion expense.
Alaska Mining Co. acquired mineral rights for $67,500,000. The mineral deposit is estimated at 30,000,000 tons. During the current year, 4,000,000 tons were mined and sold. a. Determine the amount of depletion expense for the current year. Round the depletion rate to two decimals places. $fill in the blank b845aef25fdffad_1 b. Journalize the adjusting entry on December 31 to recognize the depletion expense.
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter5: Business Deductions
Section: Chapter Questions
Problem 6BCRQ
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Depletion Entries
Alaska Mining Co. acquired mineral rights for $67,500,000. The mineral deposit is estimated at 30,000,000 tons. During the current year, 4,000,000 tons were mined and sold.
a. Determine the amount of depletion expense for the current year. Round the depletion rate to two decimals places.
$fill in the blank b845aef25fdffad_1
b. Journalize the
| Dec. 31 | fill in the blank | ||
| fill in the blank |
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