1.Crowley Oil in Alligator, Mississippi, incurs $78,000 in production costs in July 2022. If a successful efforts company, the textbook suggests what account should be debited?

2. An exploratory well was drilled in Slapout, Oklahoma, at a cost of $902,000 and was determined to be dry. Under SE, the account ______________ would be debited for $902,000.

3.

Which question is false?

		Unit-of-Production Amortization is based upong revised estimates at the end of the year plus the current period production under SE.
		In the unit-of-production formula, book value at the end of the period is used.
		Asset retirement obligations are allocated to expenses by DD&A over the useful life of the asset.
		Equipment that cannot be related to specific activities should be added to book value under the unit-of-production method.
		All are true. 4. The mousehole connection process occurs when the drill hole deepens and a new drill pipe is added approximately every 30 feet.