Instructions

Glacier Mining Co$.$ acquired mineral rights for $$494,000,000.$ The mineral deposit is estimated at $475,000,000$ tons. During the current year, $31,500,000$ tons were mined and sold.

A$.$ Determine the depletion rate. Round your answer to two decimal places.

B$.$ Determine the amount of depletion expense for the current year.

C$.$ Journalize the adjusting entry on December $31$ to recognize the depletion expense. Refer to the Chart of Accounts for exact wording of account titles.