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HELP Me out with this Nash Company owns a 7,500-acre tract of timber purchased in 2006 at a cost of $1,586 per acre. At the
HELP Me out with this
Nash Company owns a 7,500-acre tract of timber purchased in 2006 at a cost of $1,586 per acre. At the time of purchase, the land was estimated to have a value of $366 per acre without the timber. Nash Company has not logged this tract since it was purchased. In 2020, Nash had the timber cruised. The cruise (appraiser) estimated that each acre contained 9,760 board feet of timber. In 2020 , Nash built 10 miles of roads at a cost of $7,800 per mile. After the roads were completed, Nash logged and sold 4,270 trees containing 1,037,000 board feet. (a) Your answer is incorrect. Determine the cost of timber sold related to depletion for 2020. (Round answer to 0 decimal places, e.g. 5,125.) Cost of timber sold $Step by Step Solution
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