Mercury Energy owned the following unproved property at 12/31/38:

Significant Leases	Cost	Impairment	Insignificant Leases	Cost	Total Impairment
Lease A	$460,000	$240,000	Lease C	$95,000
Lease B	$700,000	$260,000	Lease D	$80,000
			Lease E	$75,000
			Lease F	$65,000
				$315,000	$95,000

Requirement:
 Prepare journal entries for 2039, assuming the following events:
 a. Proved reserves were found on Lease A and Lease B.
 b. Lease D was impaired by an additional $10,000.
 c. Lease F was sold for $70,000.