Prepare the journal entry to record depletion for the first year. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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(a2)
Prepare the journal entry to record depletion for the first year. (Credit account titles are automatically
indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for
the account titles and enter O for the amounts.)
Account Titles and Explanation
Debit
Credit
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(b)
The parts of this question must be completed in order. This part will be available when you complete the part above.
Transcribed Image Text:(a2) Prepare the journal entry to record depletion for the first year. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Account Titles and Explanation Debit Credit Save for Later (b) The parts of this question must be completed in order. This part will be available when you complete the part above.
Pharoah Company purchased for $4,543,000 a mine that is estimated to have 45,430,000 tons of ore and no
salvage value. In the first year, 14,040,000 tons of ore are extracted.
(a1)
Calculate depletion cost per unit. (Round answer to 2 decimal places, e.g. 0.50.)
Depletion cost per unit $
per ton
Save for Later
(a2)
The parts of this question must be completed in order. This part will be available when you complete the part above.
Transcribed Image Text:Pharoah Company purchased for $4,543,000 a mine that is estimated to have 45,430,000 tons of ore and no salvage value. In the first year, 14,040,000 tons of ore are extracted. (a1) Calculate depletion cost per unit. (Round answer to 2 decimal places, e.g. 0.50.) Depletion cost per unit $ per ton Save for Later (a2) The parts of this question must be completed in order. This part will be available when you complete the part above.
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