akeland Mountain Mining paid $1,147,600 for the right to extract mineral assets from a 550,000-ton deposit. In addition to the purchase price, Lakeland also paid 400 filing fee, a $2,000 license fee to the state of Nevada, and $60,000 for a geological survey of the property. Because Lakeland purchased the rights to the mil hly and did not purchase the land, it expects the asset to have zero residual value. During the first year, Lakeland removed and sold 40,000 tons of the minerals. urnal entries to record (a) purchase of the minerals (debit Minerals), (b) payment of fees and other costs, and (c) depletion for the first year. (Record debits first, edits. Select the explanation on the last line of the journal entry table.) umalize (b) the payment of fees and other costs. (Record a single compound journal entry.) Date b. Minerals Cash Accounts and Explanation To record payment of costs associated with purchase of minerals. umalize (c) the depletion for the first year. (Round depletion per ton to the nearest cent.) Date Accounts and Explanation C Debit Credit 62,400 62,400 Debit Credit