Garber Oil Company owns 100% of the working interest in the Williams lease.

The lease is a fully developed lease located in New Mexico. As of 12/31/18, the lease had proved developed reserves of 1,200,000 barrels and unrecovered costs of

$12,000,000. During the third quarter of 2019, a new reserve study was received that estimated proved developed reserves of 1,500,000 barrels as of August 1, 2019.

REQUIRED: Calculate DD&A for each quarter, assuming the following production and using the first method illustrated in the chapter.

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Quarter Production 1 30,000 bbl 2 35,000 bbl July 10,000 bbl August September 15,000 bbl 12,000 bbl 4 40,000 bbl