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Exercise 11-19 Splish Company owns 9,000 acres of timberland purchased in 2009 at a cost of $1,736 per acre. At the time of purchase, the
Exercise 11-19 Splish Company owns 9,000 acres of timberland purchased in 2009 at a cost of $1,736 per acre. At the time of purchase, the land without the timber was valued at $496 per acre. In 2010, Splish built fire lanes and roads, with a life of 30 years, at a cost of $104,160. Every year, Splish sprays to prevent disease at a cost of $3,720 per year and spends $8,680 to maintain the fire lanes and roads. During 2011, Splish selectively logged and sold 868,000 board feet of timber, of the estimated 4,340,000 board feet. In 2012, Splish planted new seedlings to replace the trees cut at a cost of $124,000. Determine the depreciation expense and the cost of timber sold related to depletion for 2011. (Round intermediate calculations to 5 decimal places, e.g. 1.54687 and final answers to o decimal places, e.g. 5,125.) Depreciation expenses Cost of timber solde Splish has not logged since 2011. If Splish logged and sold 1,116,000 board feet of timber in 2019, when the timber cruise (appraiser) estimated 6,200,000 board feet, determine the cost of timber sold related to depletion for 2022. (Round intermediate calculations to 5 decimal places, e.g. 1.54687 and final answers to 0 decimal places, e.g. 5,125.) Cost of timber solds Click if you would like to Show Work for this question: Open Show Work
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