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pless solve On January 1, 2023, Riverbed Corporation erected a drilling platform at a cost of $5,5 14,600. Riverbed is legally required to dismantle and
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On January 1, 2023, Riverbed Corporation erected a drilling platform at a cost of \$5,5 14,600. Riverbed is legally required to dismantle and remove the platform at the end of its 6 year useful life, at an estimated cost of 5959.500 . Riverbed estimates that 70% of the cost of dismantling and removing the platform is caused by acquiring the asset itself, and that the remaining 30G of the cost is caused by using the platform in production. The present value of the increase in asset retirement obligation related to the production of oil in 2023 and 2024 was $32.651 and $35.263, respectively. The estimated residual value of the drilling platform is zerp. and Riverbed uses straight-line depreciation. Rliverbed prepares financial statements in accordancet with IFRS. Click here to view the factor table. Prepare the journal entries to record the acquisition of the drilling platform and the asset retirement obligation for the platform on January 1, 2023. An appropriate interest or discount rate is 8%. Use (1) factor Table A.2, (2) a financial calculator, or (3) Excel function PV in your calculations. (Round foctor values to 5 decimal ploces, eg. 1.25124 and final answers to 0 decimal places, eg. 5,275. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account tities and enter Ofor the amounts) (b) The parts of this question must be completed in order. This part will be available when you complete the part above. (c) The parts of this question must be completed in order. This part will be available when you complete the part above. (d) The parts of this question must be completed in order. This part will be available when you complete the part above. (e1) The parts of this question must be completed in order. This part will be available when you complete the part above: The parts of this question must be completed in order. This part will be available when you complete the part above. (e2) The parts of this question must be completed in order. This part will be available when you complete the part above. (e3) The parts of this question must be completed in order. This part will be avallable when you complete the gart above. (e4) The parts of this question must be completed in order. This part will be availabie when you comolete the part above Step by Step Solution
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