Hays Oil Company had the following transactions during the year: a. Acquired an undeveloped lease, $55,000...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Hays Oil Company had the following transactions during the year: a. Acquired an undeveloped lease, $55,000 b. Paid a drilling contractor as follows: Footage rate for drilling.. Equipment costs (casing). Equipment costs (tanks, flow lines, and labor to install equipment).. c. Paid costs in evaluating the well, $20,000 d. Completion costs for fracturing and perforating, $25,000 $250,000 75,000 50,000 REQUIRED: Record the transactions. Hays Oil Company had the following transactions during the year: a. Acquired an undeveloped lease, $55,000 b. Paid a drilling contractor as follows: Footage rate for drilling.. Equipment costs (casing). Equipment costs (tanks, flow lines, and labor to install equipment).. c. Paid costs in evaluating the well, $20,000 d. Completion costs for fracturing and perforating, $25,000 $250,000 75,000 50,000 REQUIRED: Record the transactions.
Expert Answer:
Answer rating: 100% (QA)
Journal Entries No Accounts Debit Unproved property 55000 a Cash To record lease paid Well i... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0132162302
1st edition
Authors: Elizabeth A. Gordon, Jana S. Raedy, Alexander J. Sannella
Posted Date:
Students also viewed these accounting questions
-
The Bichette Company had the following transactions during the year ended December 31, 2000: 1. Sales on account were $155,000. Cash sales were $38,000. 2. Cost of goods sold during the year was...
-
A company had the following transactions during its most recent fiscal period: 1. Paid rent of $39,000 during the year which included $3,000 for the first month of next year. 2. Paid $11,700 of...
-
A company had the following transactions during its most recent fiscal period: 1. A total of 5,000 shares were issued at $30 per share. 2. Equipment worth $120,000 was purchased for $80,000 cash and...
-
What is the first question to ask when redefining quality goals? What is the purpose of what I am trying to accomplish? What is the right purpose for me to be working on? What quality goals should I...
-
Prove that equation 1210 is equivalent to equation 1211. Equation 12-10 Equation 12-11 Next forecastPresent actual value) (1 -w) (Present forecast)
-
(a) On the grid, draw the image of (i) triangle A after a reflection in the y-axis, (ii) triangle A after a translation by the vector -(-3) (b) Describe fully the single transformation that maps...
-
Accounting for Participation Rates Exercises 2.30 and 2.31 show that smokers who agreed to be in the Deposit group (having their own money at risk) were much more likely to quit smoking than those...
-
Inter continentals special order also requires 1,000 kilograms of genatope, a solid chemical regularly used in the companys products. The current stock of genatope is 8.000 kilograms at a book value...
-
Consolidated Balance Sheet Working Paper, Bargain Purchase On January 1, 2022, Paxon Corporation acquired all of the outstanding common stock of Saxon Company for $2 billion cash. The prior to the...
-
Snowden Industries produces two electronic decoders, P and Q. Decoder P is more sophisticated and requires more programming and testing than does Decoder Q. Because of these product differences, the...
-
Which algorithm steps correctly solve the problem: How many occurrences of 2 exist in the array? Group of answer choices (1) loop through array (2) increment counter if 2 is found (3) inspect each...
-
Select all that apply To determine a firm's sustainable growth rate, which three figures must remain constant? Multiple select question. plowback ratio return on assets long-term debt ratio...
-
What term refers to the number of units of service provided for patient care which are estimated on historical activity and environmental factors?
-
If merchandise is sold with credit terms of 3/15,n/30 what is the discount percentage and the number of days available to take advantage of the discount, respectively. Group of answer choices The...
-
The Company's Audit Committee charter requires that the Audit Committee review and approve all related party transactions required to be disclosed pursuant to SEC rules. In doing so, the Audit...
-
What is the principal reason you might use a hot site? Expensive, but already configured for our use, May not be available during a crisis, Expensive but we will have to install and configure new...
-
5) EM wave with an electric field of 200 V/m is absorbed by a flat surface (20 cm x 25 cm). i) What is the total amount of energy absorbed by the surface in 10 minutes? ii) How long it will take in...
-
Explain the term "Equivalent Units". Why are they calculated in process costing? [4 Marks] [minimum 350 words]
-
On December 31, 2015 the Clearwater Corporation acquired a custom- made plant asset by issuing a promissory note with a face value of $ 750,000, a due date of December 31, 2020, and a stated (coupon)...
-
On December 31, year 10, Brown Company changed its inventory valuation method from the weighted aver-age method to FIFO for financial statement purposes. The change will result in an $ 800,000...
-
Megga Brands, Inc. borrowed $ 1,500,000 from Telcity Bank. The note payable has a term of 15 years and carries a 4% coupon interest. Due to an inadequate credit score, Megga Brands agreed to several...
-
Which ratio measures the ability of a company to collect its receivables? a. Current ratio b. Quick ratio c. Days sales in receivables d. Return on assets
-
In vertical analysis, the base used for comparison on the income statement is a. total expenses. b. total assets. c. net sales. d. gross profit.
-
A statement that lists the assets, liabilities, and stockholders equity of a company in percentages only with no dollar amounts is a a. common-size income statement. b. benchmarking analysis. c....
Study smarter with the SolutionInn App