It Carlow company owns a 7420 acre tract of timber purchased and 2003 at a Cos of $1980 per acre. At the same time of purchase, the land was estimated to have a value of $318 per acre without the timber. Karla company has not logged this track since it was purchased. And 2017, Karla had the timber cruised. The cruise (appraiser) estimated that each acre contained 8,480 board feet of timber. In 2017, Carla built 10 miles of roads at a Cost of $8,310 per mile. After the roads were completed, Carla logged and sold 3,710 trees containing 901,000 board feet.

A. Determine the cost of timber sold related to depletion for 2017.

Cost of timber sold: $

B. if Carla depreciates the logging roads on the basis of timber cut, determine depreciation expense for 2017. Depreciation expense: $

C. if Carla plants 5 seedlings at a cost of $4 per seedling for each tree cut, how should Carla treat the reforestation?

Carla should capitalize, or expense (choose one) the cost of $