please answer the questions below. all information given is provided. thank you

this is all the information i was given. topic is oil and gas accounting

2. The successful efforts method of accounting for oil and gas operations is considered to follow generally accepted accounting principles as pronounced by the FASB. Explain. 3. Indicate whether the following costs should be expensed (E) or capitalized (C) depending on whether the company uses successful efforts or the full cost method of accounting Successful Efforts Full Cost Expense Capital Expense Capital Acquisition costs G&G costs Exploratory dry holes Successful exploratory wells Development wells, dry Development wells, successful Production facility costs Production costs 7. The following costs for Davison Lease were all incurred during 2020. Acquisition costs $ 30,000 G&G costs 80,000 Exploratory dry holes.. 1,500,000 Successful exploratory holes 350,000 Development wells, dry. 200,000 Development wells, successful 475,000 Cost of production facilities 250.000 Production costs.. 60,000 DD&A"... 55,000 (SE); 125,000 (FC) Accumulated DD&A. 150,000 (SE): 360,000 (FC) Revenue from sale of oil 225,000 *Depreciation, depletion, and amortization REQUIRED: Prepare the 2020 income statements and unclassified partial balance sheets for a successful efforts (SE) company and a full cost (FC) company