DDA IUI 2021. .... $ 30,000 19.) The following account balances for 2018 and 2019 relate to a proved property: 12/31/18 12/31/19 $ 30,000 Proved property cost ............. Accumulated DD&Aproved property..... 6,000 Wells and equipment-IDC...... 350,000 450,000 Accumulated DD&A-L&WEIDC ............. 60,000 Wells and equipment -L&WE................ 250,000 325,000 Accumulated DD&Awells and equipment-L&WE.. 55,000 2018 2019 Proved reserves, 12/31........................ 800,000 Mcf 900,000 Mcf Proved developed reserves, 12/31 ................. 500,000 Mcf 700,000 Mcf Production during 2018 and 2019....... ......... 40,000 Mcf 60,000 Mcf REQUIRED: Compute DD&A for the year ended 12/31/19. production during the year was 30,UUU barrels. Wyoming, agreeing In 2019. Lori Jerin leased the mineral rights in a property in Wyoming, to a 25% royalty. The joint working interest in the property is owned by the following companies: Company: WI Donna Company 60% Jones Oil 30% HC Inc. 10% In 2020, a successful exploratory well was drilled on the property. On Decem 31, 2021, the property was producing. On that date, total proved reserves are sti mated to be 1,400,000 barrels, and total proved developed reserves are estimated to be 200,000 barrels. Total production during 2021 was 60,000 barrels. REQUIRED: a. Compute the proved reserves and proved developed reserves that belong to the working interest and royalty interest owners. b. Determine the production that each of the working interest owners would use in computing DD&A. CHAPTER 7 Proved Property Cost Disposition Successful Efforts. 233 costs relate to Lease A as of 12/31/18: The following costs relate to Lease Proved property. $ 80,000 Accumulated DD&A-proved property... 40,000 Well No. 1: Wells and equipment .. 500,000 Well No. 2: Wells and equipment ... 360,000 600,000 nuary 2019, Well No. I ceased production and was abandoned. In June 2019 Well No. 2 ceased production, and the well and the lease were abandoned. PEQUIRED: Prepare journal entries for the abandonments. Accumulated DD&A_ DDA IUI 2021. .... $ 30,000 19.) The following account balances for 2018 and 2019 relate to a proved property: 12/31/18 12/31/19 $ 30,000 Proved property cost ............. Accumulated DD&Aproved property..... 6,000 Wells and equipment-IDC...... 350,000 450,000 Accumulated DD&A-L&WEIDC ............. 60,000 Wells and equipment -L&WE................ 250,000 325,000 Accumulated DD&Awells and equipment-L&WE.. 55,000 2018 2019 Proved reserves, 12/31........................ 800,000 Mcf 900,000 Mcf Proved developed reserves, 12/31 ................. 500,000 Mcf 700,000 Mcf Production during 2018 and 2019....... ......... 40,000 Mcf 60,000 Mcf REQUIRED: Compute DD&A for the year ended 12/31/19. production during the year was 30,UUU barrels. Wyoming, agreeing In 2019. Lori Jerin leased the mineral rights in a property in Wyoming, to a 25% royalty. The joint working interest in the property is owned by the following companies: Company: WI Donna Company 60% Jones Oil 30% HC Inc. 10% In 2020, a successful exploratory well was drilled on the property. On Decem 31, 2021, the property was producing. On that date, total proved reserves are sti mated to be 1,400,000 barrels, and total proved developed reserves are estimated to be 200,000 barrels. Total production during 2021 was 60,000 barrels. REQUIRED: a. Compute the proved reserves and proved developed reserves that belong to the working interest and royalty interest owners. b. Determine the production that each of the working interest owners would use in computing DD&A. CHAPTER 7 Proved Property Cost Disposition Successful Efforts. 233 costs relate to Lease A as of 12/31/18: The following costs relate to Lease Proved property. $ 80,000 Accumulated DD&A-proved property... 40,000 Well No. 1: Wells and equipment .. 500,000 Well No. 2: Wells and equipment ... 360,000 600,000 nuary 2019, Well No. I ceased production and was abandoned. In June 2019 Well No. 2 ceased production, and the well and the lease were abandoned. PEQUIRED: Prepare journal entries for the abandonments. Accumulated DD&A_