Completion Status d. Moving to another question will save this response Question 1 Alexander Oil Company acquired the following three unexplored leases: July 1, 2019 Lease A $500,000 August 15, 2019 Lease B $300,000 October 10, 2019 Lease C $400,000 All leases are classified as individually significant. a. On December 31, 2019, Lease A is determined to be 45% impaired. Lease B and C are not impaired. b. On December 31, 2020, Lease A is determined to be impaired a total of 80%, Lease C, 50% Lease B is not impaired. c. Question 1 of 5 10 points On December 31, 2021, Lease A is considered to be 100% impaired and is abandoned. Lease B is 20% impaired and a well on Lease C found proved reserves. Required: Prepare journal entries for all of the above transactions except the initial purchase. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac BIUS Paragraph Arial + 10pt v 12 Av FAN Alexander Oil Company acquired the following three unexplored leases: July 1, 2019 August 15, 2019 October 10, 2019 Lease A $500,000 Lease B $300,000 Lease C $400,000 All leases are classified as individually significant. a. On December 31, 2019, Lease A is determined to be 45% impaired. Lease B and C are not impaired. b. On December 31, 2020, Lease A is determined to be impaired a total of 80%, Lease C, 50% Lease B is not impaired. c. On December 31, 2021, Lease A is considered to be 100% impaired and is abandoned. Lease B is 20% impaired and a well on Lease C found proved reserves. Required: Prepare journal entries for all of the above transactions except the initial purchase. Question Completion Status Moving to another question will save this response Question 2 Question 2 us 10 points Maqam Oil Corporation leased 3.000 unexplored acres, paying a lease bonus of $150/acre. Delay rentals are specified at a rate of $4/acre. The lease also specified that Maqam could abandon the lease in 1,000-acre portions. At the end of year 1, Maqam abandon 1,000 acres and paid a delayed rental on the remainder. Required: Prepare journal entries for the above activities. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIS Paragraph + Arial -~ v 10pt " V Ev Av 20 I FR 52 E Moving to another question will save this response. OWORDS POWERED BY TH Quemon 2 25 Maqam Oil Corporation leased 3,000 unexplored acres, paying a lease bonus of $150/acre. Delay rentals are specified at a rate of $4/acre. The lease also specified that Maqam could abandon the lease in 1,000-acre portions. At the end of year 1, Maqam abandon 1,000 acres and paid a delayed rental on the remainder. Required: Prepare journal entries for the above activities. Moving to another question will save this response. Question 3 Question 1 of 5 10 Ephrayim Oil purchased an offshore lease costing $6,000,000 with 3,000 total acres. Proved reserves are found on a 1,000-acre tract that is included in the 3,000 acres. Management decide to reclassify only the proved area acreage. Required: Prepare the entry to reclassify the acreage. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac BIUS Av 20 IX 0 Paragraph Arial 3 10pt >T