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No need to explain, please I beg just solve everything, would be greatly appreciated (thumbs up)! :) Required information Problem 10-7A Natural resources LO P3
No need to explain, please I beg just solve everything, would be greatly appreciated (thumbs up)! :)
Required information Problem 10-7A Natural resources LO P3 The following information applies to the questions displayed below.] On July 23 of the current year, Dakota Mining Co. pays $7,228,320 for land estimated to contain 9,768,000 tons of recoverable ore. It installs and pays for machinery costing $488,400 on July 25. The company removes and sells 504,000 tons of ore during its first five months of operations ending on December 31. Depreciation of the machinery is in proportion to the mine's depletion as the machinery will be abandoned after the ore is mined. Problem 10-7A Part 1-4 Required: Prepare entries to record the following. (Do not round your intermediate calculations. Round "Depletion per ton" to two decimal places and round all other answers to the nearest whole dollar.) (a) The purchase of the land. (b) The cost and installation of machinery. (c) The first five months' depletion assuming the land has a net salvage value of zero after the ore is mined. (d) The first five months' depreciation on the machinery. Journal entry worksheet Record the cost of the ore mine of $7,228,320 cash. Note: Enter debits before credits. General Journal Debit Credit Date Jul 23 Journal entry worksheet Record the cost of the machinery of $488,400 cash. Note: Enter debits before credits. General Journal Debit Credit Date Jul 25 Select formula for Units of Production Depletion: Calculate depletion expense: Depletion per ton Tonnage Depletion expense Journal entry worksheet Record the year-end adjusting entry for the depletion expense of ore mine. Note: Enter debits before credits. Date General Journal Debit Credit Dec. 31 Select formula for Units of Production Depreciation: Calculate Depreciation expense: Depreciation per ton Tonnage Depreciation expense Journal entry worksheet Record the year-end adjusting entry for the depreciation expense of the machinery. Note: Enter debits before credits. General Journal Debit Credit Date Dec. 31 (e) If the machine will be used at another site when extraction is complete, how would we depreciate this machine? Depreciated
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