Ghada Oll Company begin operations in 2019. Ghada Company use full cost method approach to record transactions. The following information is available related to O&G operations Date 1/1/19 4/2/19 Items Acquisition cost Drilling cost Lease A $20,000 Well 1 (exploratory) IDC: $250,000 LWE: $200.000 Lease B $30,000 Well 1 (exploratory) IDC: $300,000 LWE: $250,000 31/121/19 Drilling result Proved Well dry Abandoned well 5/1/2020 16/2/2020 Successful development $400,000 well drilled Tankss, separators ato $200.000 installed Future development costs $300,000 Production during the Oil: 50,000 bbl yoar Gas: 100,000 Mel 31/12/2020 31/12/2020 31/12/2020 Estimated proved reserves Oil: 300,000 bbl Gas 900,000 Mcf 31/12/2020 Selling Price Oil: $140/bbi Gas: $30/ Mc year Gas: 100.000 Mcf 31/12/2020 Estimated proved reserves 31/12/2020 Selling Price Oil: 300,000 bb! Gas: 900,000 Mc Oil: $140/bbl Gas: $30/ Mcf Oil: S120/bbi Gas: $23/Met 31/12/2020 Current price (closing Price) The journal entry on December 31, 2019 include O A A credit to unproved property of $50,000 OB. A debit to Well in Progress of $450,000 OCA debit to Well and equipment of $550,000 OD. A debit to exploratory dry hole of $550,000