Backwoods Mining Co. acquired mineral rights for $11,739,000. The mineral deposit is estimated at 90,300,000 tons. During the current year, 13,550,000 tons were mined and sold. a. Determine the amount of depletion expense for the current year. Round the depletion rate to two decimal places. Feedback Check My Work Similar to the units-of-production method to depreciate a fixed asset, the depletion rate that is calculated stays constant no matter how much of the natural resource is extracted. b. Journalize the adjusting entry on December 31 to recognize the depletion expense. If an amount box does not require an entry, leave it blank. Depletion Expense Accumulated Depletion 88 Feedback Check My Work Similar to the journal entry to record depreciation, the journal entry to record depletion affects a contra asset account Depreciation by Two Methods A computer system acquired on January 1 at a cost of $99,000 has an estimated useful life of ten years. Assuming that it will have no residual value. a. Determine the depreciation for each of the first two years by the straight-line method. First Year 9,900 Second Year 9,900 b. Determine the depreciation for each of the first two years by the double-declining-balance method. Do not round the double-declining balance rate. If required, round your final answers to the nearest dollar. First Year Second Year