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QUESTION 18 Sundus Oil Company, uses successful cost approach, owned the following unproved property: Lease Acres Bonus/acre Type A B C-F 10,000 8,000 50,000 $50

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QUESTION 18 Sundus Oil Company, uses successful cost approach, owned the following unproved property: Lease Acres Bonus/acre Type A B C-F 10,000 8,000 50,000 $50 $75 $20 Allowance for impairment $100,000 $150,000 $480,000 Significant Significant Individually Insignificant At December 31, 2020, found proved reserves on Lease E ($100,000) and Lease F ($250,000). Journal entry on December 31, 2020 include OA. A credit to unproved property of $250,000 O B. A debit to allowance for impairment of $480,000 OC. A credit to unproved property of $1,000,000 OD. A debit to proved property of $350,000

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