Barton Corporation acquires a coal mine at a cost of $1,500,000. Intangible development costs total $360,000. After extraction has occurred, Barton must restore the property (estimated fair value of the obligation is $180,000), after which it can be sold for $510,000. Barton estimates that 5,000 tons of coal can be extracted. If 900 tons are extracted the first year, which of the following would be included in the journal entry to record depletion? a. Debit to Accumulated Depletion for $275,400 b. Debit to Inventory for $275,400 c. Credit to Inventory for $270,000 d. Credit to Accumulated Depletion for $459,000
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Barton Corporation acquires a coal mine at a cost of $1,500,000. Intangible development costs total $360,000. After extraction has ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
The financial statements of gervais manufacturing company report net sales of $500,000 and accounts receivable of $80,000 and $40,000 at the beginning and end of the year, respectively. what is the accounts receivable turnover for gervais?
Answers (1)
Use the following information for Taco Swell, Inc., (assume the tax rate is 22 percent): 2017 2018 Sales $23,549 $19,188 Depreciation 2,516 2,624 Cost of goods sold 6,390 6,871 Other expenses 1,441 1,248 Interest 1,180 1,395 Cash 8,746 9,667
Answers (1)
Which of the following statements concerning product costs is correct? A. Period costs are only expensed when a related unit of product is sold. B. Product costs are initially inventoried on a company's Balance Sheet. C.
Answers (1)
A company has a selling price of $2,300 each for its printers. Each printer has a 2 year warranty that covers replacement of defective parts.
Answers (1)
Joanna received $68,400 compensation from her employer, the value of her stock in ABC company appreciated by $8,600 during the year (but she did not sell any of the stock), and she received $44,400 of life insurance proceeds from the death of her
Answers (1)
New Questions in Business
Steven is going to purchase two stocks to form the initial holdings in his portfolio. Iron stock has an expected return of 25 percent, while Copper stock has an expected return of 19 percent.
Answers (1)
Continuous quality improvement depends heavily upon: Select one: a. hard work b. monitoring special causes of variance c. use of checklists d. employment of the PDCA cycle
Answers (1)
The difficulty in cost-benefit analysis is that the benefits are usually evident and easily measurable, while the costs are not always evident or measurable. A) True B) False
Answers (1)
What's the difference between price skimming and price penetration strategies?
Answers (1)
The grocery store has bulk pecans on sale, which is great since you're planning on making 8 pecan pies for a wedding. How many pounds of pecans should you buy?
Answers (2)