QUESTION 1 Not complete Marked out of 1.00P Flag question Computing and Recording Depletion Expense The Nelson Oil Company estimated that the oil reserve that it acquired in 2016 would produce 4 million barrels of oil. The company extracted 300,000 barrels the first year, 500,000 barrels in 2017, and 600,000 barrels in 2018. Nelson paid $32,000,000 for the oil reserve. a. Compute the depletion expense for each year-2016, 2017, and 2018. 2016 $ 2017 2018 $ b. Prepare the journal entries to record (i) the acquisition of the oil reserve, and (ii) the depletion for 2016. General Journal Debit Credit Description tit C. Open T-accounts and post the entries from part b in the accounts. Cash (A) 0 0 0 0 Oil Inventory (A) 0 0 0 Oil Reserve (A) 0 0 ) 0