Question
The following interests exist for the Brown lease: Mr. Brown1/8 RI Bill Landman5% ORI (5% taken from WI which is a 4.375% net revenueinterest) Aggie
The following interests exist for the Brown lease:
Mr. Brown1/8 RI
Bill Landman5% ORI (5% taken from WI which is a 4.375% net revenueinterest)
Aggie Oil Company60 % WI
Cowboy Oil Company40% WI
If the lease produces revenue of $100,000 for the month, and the severance tax rate is 7%, how much cash should Bill Landman receive (to the nearest dollar)?
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International Accounting
Authors: Timothy Doupnik, Hector Perera
3rd Edition
978-0078110955, 0078110955
