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An oil company using the successful-efforts method drilled two wells. The first, a dry hole, cost 50,000. The second cost of 100,000 and had estimated
An oil company using the successful-efforts method drilled two wells. The first, a dry hole, cost 50,000. The second cost of 100,000 and had estimated recoverable reserves of 25,000 barrels, of which 10,000 were sold this year. What will be the total expense for the year related to the exploration and production from these two wells?
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