Sundus oll Company, uses successful cost approach, began the year 2020 with the acquisition of two individually significant unproved leases Company completed the following transactions for the year 2020 and 2019. Transactions Lease X Individually significant Lease Y Individually significant Lease z Individually significant $300,000 1.000 acres at 600 acres at $60 Lease in 2019 $50/acro per acres For $80,000 2020 Paid G&G survey Sign a loase bonus in 2 areas Each lease had a delay rental clause requiring payment of $3,000 Legal foes to successfully defond the title suit Well type Drilling Costs IDC LWE Drilling result $15,000 Exploratory Exploratory Development $175,000 $50,000 Drilling not completo $150,000 $30,000 Well Dry abandoned lease $200,000 $250,000 Found proved reserves 2021 Well type Exploratory None None Drilling Cost: IDC S170.000 Well type Exploratory Exploratory Development Drilling Costs: IDC LWE Drilling result $175,000 $50,000 Drilling not complete $150,000 $30,000 $200,000 $250,000 Found proved reserves Well Dry, abandoned lease 2021 Well type Exploratory None None Drilling Cost: IDC LWE Drilling result $170,000 $80,000 Drilling completed found proved reserves The journal entry for the drilling result on Lease X in the year 2021 include: O A A credit to unproved property of $ 65,000 OB. A debit to well and equipment of $475,000 OCA debit to well in progress of $ 225,000 OD. A credit to prove property of $ 50,000