Question
Hidden Hollow Mining Co. acquired mineral rights for $112,000,000. The mineral deposit is estimated at 80,000,000 tons. During the current year, 18,400,000 tons were mined
Hidden Hollow Mining Co. acquired mineral rights for $112,000,000. The mineral deposit is estimated at 80,000,000 tons. During the current year, 18,400,000 tons were mined and sold.
a. Determine the depletion rate. If required, round your answer to two decimal places. $fill in the blank 3554e2f56fdd015_1 per ton
b. Determine the amount of depletion expense for the current year. $fill in the blank 3554e2f56fdd015_2
c. Journalize the adjusting entry on December 31 to recognize the depletion expense.
| Dec. 31 | fill in the blank 757fb5fe504007d_2 | ||
| fill in the blank 757fb5fe504007d_4 |
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Frank Woods Business Accounting Volume 2
Authors: Frank Wood, Alan Sangster
13th Edition
9781292085050
