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Mineral Industries recently spent $12 million to purchase and set up a new iron ore mine. Mineral expects to extract 20 million tons of ore
Mineral Industries recently spent $12 million to purchase and set up a new iron ore mine. Mineral expects to extract 20 million tons of ore from the mine over the next 10 years. If, in the first year, Mineral extracts 3 million tons of ore, what accounting entries should be made to record the extraction? (Assume that the estimated salvage value of the mine is zero.)
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