EXERCISE 1 A company buys an oil rig for 476,800 on January 1,2017. The life of the rig is 12 years, at which time is legally required to dismantle the rig. The expected cost to dismantle the rig at the end of 12 years is 95,000. The company uses straight-line depreciation Instructions Poetejournal ctris to recod the lil rig and rement biliry on anury l. 2017, An effective-interest rate is 8% 2. Prepare adjusting entries at December 31, 2017. 3. Provide the answer to the following question. At what amount will the retirement liability be reported on the company's 2019 statement of financial position