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Angelview Oil Corp., a successful efforts company, spends $850,000 on G&G activities to locate and explore an oil prospect. The company should: a capitalize the
Angelview Oil Corp., a successful efforts company, spends $850,000 on G&G activities to locate and explore an oil prospect. The company should:
a capitalize the $850,000.
b expense the $850,000.
c temporarily capitalize the $850,000 to a Well-in-Progress account.
d capitalize or expense the $850,000 depending on the management's intent.
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