Billings Corporation acquires a coal mine at a cost of $2,000,000. Intangible development costs total $275,000. After extraction has occurred, Billings must restore the property (estimated fair value of the obligation is $305,000), after which it can be sold for $750,000. Billings estimates that 5,000 tons of coal can be extracted. If 900 tons are extracted the first year, which of the following would be included in the journal entry to record depletion? O Credit to Accumulated Depletion for $1,500,600 O Credit to Inventory for $135,000 O Debit to Inventory for $329,400 O Debit to Accumulated Depletion for $329,400

Billings Corporation acquires a coal mine at a cost of $2,000,000. Intangible development costs total $275,000. After extraction has occurred, Billings must restore the property (estimated fair value of the obligation is $305.000 ), after which it can be sold for $750,000. Billings estimates that 5,000 tons of coal can be extracted. If 900 tons are extracted the first year, which of the following would be included in the journal entry to record depletion? Credit to Accumulated Depletion for $1,500,600 Credit to Inventory for $135,000 Debit to Inventory for $329,400 Debit to Accumulated Depletion for $329,400