On January 1, 2015, Micah Joy Mining Corp. acquired property containing mineral resources for P150,000,000. Total cost of exploration and intangible development cost was P8,000,000. Micah Joy is mandated by the Mining Act to restore the site after 4 years. Based on most reliable measurements, the amount of restoration cost is P12,000,000 and current market-based discount rate is 10%. On the same date, Micah Joy acquired movable tangible equipment amounted P6,000,000 while the immovable tangible equipment amounted to P9,000,000. Geologist estimate that the total units estimated to be extracted each year during the useful life of the wasting assets. The movable equipment has a useful life of 20 years while the immovable equipment has an estimated useful life of 10 years. Actual units extracted in 2015 and 2016 were 1,600,000 and 1,700,000 respectively. Question: (Please carry over all decimal places in the computation) Based on the above data, answer the following: 2. How much is the depletion in 2015?

On 1 July 2016 Liala Ltd sold an item of plant to Jordan Ltd for $450000 when its’ carrying value in Liala Ltd book was $600000 (costs $900000, accumulated depreciation $300000). This plant has a remaining useful life of five (5) years from the date of sale. The group measures its property plants and equipment using a cost model. Tax rate is 30 percent. Required:Pass the necessary entries on 30 June 2017 and 30 June 2018 to eliminate the intra-group transfer of equipment.

Barb Company has provided information on intangible assets as follows: A patent was purchased from Lou Company for $1,500,000 on January 1, 2018. Barb estimated the remaining useful life of the patent to be 10 years. The patent was carried in Lou's accounting records at a net book value of $1,250,000 when Lou sold it to Barb. During 2019, a franchise was purchased from Rink Company for $500,000. In addition, 5% of revenue from the franchise must be paid to Rink. Revenue from the franchise for 2019 was $2,000,000. Barb estimates the useful life of the franchise to be 10 years and takes a full year's amortization in the year of purchase. Barb incurred R&D costs in 2019 as follows: Materials and equipment $120,000 Personnel 140,000 Indirect costs 60,000   $320,000 Barb estimates that these costs will be recouped by December 31, 2020. On January 1, 2019, Barb estimates, based on new events, that the remaining life of the patent purchased on January 1, 2018, is only 5 years…

Tamarisk Mining Company purchased land on February 1, 2020, at a cost of $ 914,300. It estimated that a total of  53,400 tons of mineral was available for mining. After it has removed all the natural resources, the company will be required to restore the property to its previous state because of strict environmental protection laws. It estimates the fair value of this restoration obligation at $ 98,100. It believes it will be able to sell the property afterwards for $ 109,000. It incurred developmental costs of $ 218,000 before it was able to do any mining. In 2020, resources removed totaled  26,700 tons. The company sold  19,580 tons. Compute the following information for 2020. a)   Per unit mineral cost   $ (b)   Total material cost of December 31, 2020, inventory   $  (c)   Total material cost in cost of goods sold at December 31, 2020   $