My Oil Co. acquired drilling rights for $6,500,000. The oil deposit is estimated at 32,500,000 gallons. During

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My Oil Co. acquired drilling rights for $6,500,000. The oil deposit is estimated at 32,500,000 gallons. During the current year, 2,000,000 gallons were drilled.
Journalize the adjusting entry at December 31, 2007 to recognize the depletion expense.

Journal Post Ref Description Date Debit Credit

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Accounting

ISBN: 9781337902687

28th Edition

Authors: Carl S. Warren, Christine Jonick, Jennifer Schneider

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Question Posted: Dec 04, 2017 09:20 AM

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My Oil Co. acquired drilling rights for $6,500,000. The oil deposit is estimated at 32,500,000 gallons. During

Question:

Journal Post Ref Description Date Debit Credit

Step by Step Answer:

Date Dec 31 Journal Description Depletion Expense Accumulated Depletion ...View the full answer

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