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8. After 20 years of operations, Jenkins Oil still operates exclusively in the United States. The following data are available as of 12/31/2020: Unrecovered costs
8. After 20 years of operations, Jenkins Oil still operates exclusively in the United States. The following data are available as of 12/31/2020: Unrecovered costs ....... $1,300,000 Net salvage value of properties , ....... 200,000 Estimated future development costs for proved reserves .... 400,000 Proved reserves, 12/31 ..., 360,000 bbl Proved developed reserves, 12/31 ...................... 130,000 bbl Production ........................................ 50,000 bbl REQUIRED: Compute DD&A assuming no exclusions from the amortization base, 8. After 20 years of operations, Jenkins Oil still operates exclusively in the United States. The following data are available as of 12/31/2020: Unrecovered costs ....... $1,300,000 Net salvage value of properties , ....... 200,000 Estimated future development costs for proved reserves .... 400,000 Proved reserves, 12/31 ..., 360,000 bbl Proved developed reserves, 12/31 ...................... 130,000 bbl Production ........................................ 50,000 bbl REQUIRED: Compute DD&A assuming no exclusions from the amortization base
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