On 1 April 2019 Ulladulla Mining Ltd assessed that its Mollymook area of interest contained economically recoverable reserves of 50 000 ounces of gold. On the same day the entity installed the following assets:

 

The  assets were ready for use on 1 July 2019. The Mine site building and the mining equipment are attached to the area of interest. For the year ending 30 June 2020 the entity had extracted 10 000 ounces of gold.

What is the total depreciation/amortisation expense for the capitalised development costs for the year ending 30 June 2020?

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Mine site building Mining equipment Machineries and equipment (portable) Cost $1 500 000 2 400 000 750 000 Useful life 20 years 15 years 8 years Mine site building Mining equipment Machineries and equipment (portable) Cost $1 500 000 2 400 000 750 000 Useful life 20 years 15 years 8 years

Answer rating: 100% (QA)

To determine the total depreciationamortization expense for the capitalized development costs for th... View the full answer