E$9\mathrm{.}11(\backslash (\backslash$mathbf$\{$L O$\}\backslash$mathbf$\{1\}\backslash )1,4)$ Natural Extraction Industries paid $\backslash (\backslash$$ $4\backslash )$ million for the right to drill for oil on a tract of land in western Texas. Engineers estimated that this oil deposit would produce $100,000$ barrels of crude oil.

a$.$ During the first year of operations, Natural Extraction extracted $30,000$ barrels of oil. Prepare the entry to record depletion for the first year.

b$.$ During the second year, the company extracted $50,000$ barrels. Prepare the entry to record depletion for the second year.

c$.$ What dollar amount would Natural Extraction report on its balance sheet at the end of the second year for oil deposits?