Discovery Co. acquired mineral rights for $80,000,000. The mineral deposit is estimated at 100,000,000 tons. During the

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Discovery Co. acquired mineral rights for $80,000,000. The mineral deposit is estimated at 100,000,000 tons. During the current year, 15,500,000 tons were mined and sold for $16,500,000.

a. Determine the amount of depletion expense for the current year.

b. Journalize the adjusting entry to recognize the depletion expense.

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Accounting

ISBN: 978-0324188004

21st Edition

Authors: Carl s. warren, James m. reeve, Philip e. fess

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Question Posted: Nov 07, 2012 07:03 AM

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Discovery Co. acquired mineral rights for $80,000,000. The mineral deposit is estimated at 100,000,000 tons. During the

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a 80000000 100000000 tons 080 de...View the full answer

Accounting

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