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Gaspe Mining Corp. bought mineralbearing land for $ Engineers and geologists estimate that the site will yield kilograms of economically removable ore. The land will have a net recoverable value of $ after the ore is removed this is the combination of site restoration costs and the resale value of the property.
To work the property, Gaspe built structures and sheds on the site that cost $ these will last years. Machinery that cost $ was installed at the mine, and the added cost for installation was $ This machinery should last years like that of the structures, the usefulness of the machinery is confined to these mining operations. For both structures and machinery, dismantling and removal costs when the property has been fully worked will approximately equal the value of the machinery at that time therefore, Gaspe does not plan to use the structures or the machinery after the minerals have been removed.
In the first year, Gaspe removed only kilograms of ore however, production was doubled in the second year. It is expected that all of the removable ore will be extracted within eight years from the start of operations.
Required:
Prepare a schedule showing unit and total depletion and depreciation and net book value of the assets for the first and second years of operation. Use the productive output method of depreciation for all assets. Round intermediate calculations and final answers unit values to two decimal places. Pls provide numbers with calulation in proper format
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