l n 10 years, and that the company uses the straight-line depreciation method. Exercise 11-59 Recording Asset Retirement Obligation LO6 BPP Company maintains underground storage tanks for its operations. A new storage tank was installed and e ready for use at a cost of $1,000,000 on January 1,2020. The useful life is estimated at 15 years, at which time the company is legally required to remove the tank and restore the The appropriate discount rate for the company is 12%. Obligationmade area at an estimated cost of S100,000. Required a. Record the storage tank asset and the related asset retirement obligation on January 1, 2020. b. Record any required adjusting entries on December 31 2020. c. Assume that on December 31, 2035, the tank is safely removed at a cost of $115,000. Record the required journal entry