Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Windsor Company owns 9,000 acres of timberland purchased in 2009 at a cost of $1,512 per acre. At the time of purchase, the land without
Windsor Company owns 9,000 acres of timberland purchased in 2009 at a cost of $1,512 per acre. At the time of purchase, the land without the timber was valued at $432 per acre. In 2010, Windsor built fire lanes and roads, with a life of 30 years, at a cost of $90,720. Every year, Windsor sprays to prevent disease at a cost of $3,240 per year and spends $7,560 to maintain the fire lanes and roads. During 2011, Windsor selectively logged and sold 756,000 board feet of timber, of the estimated 3,780,000 board feet. In 2012, Windsor planted new seedlings to replace the trees cut at a cost of $108,000. Your answer is correct. Determine the depreciation expense and the cost of timber sold related to depletion for 2011. (Round intermediate calculations to 5 decimal places, e.g. 1.54687 and final answers to 0 decimal places, e.g. 5,125.) 3,024 Depreciation expense $ Cost of timber sold $ 1,944,000 eTextbook and Media * Your answer is incorrect. Windsor has not logged since 2011. If Windsor logged and sold 972,000 board feet of timber in 2019, when the timber cruise (appraiser) estimated 5,400,000 board feet, determine the cost of timber sold related to depletion for 2022. (Round intermediate calculations to 5 decimal places, e.g. 1.54687 and final answers to O decimal places, e.g. 5,125.) Cost of timber sold $ 1,360,800 e Textbook and Media
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started