its all da same because it just a company
Answer:
The journal entries are as follows:
(a) Oil and gas properties A/c Dr. $6,600,000
To cash $6,600,000
(To record purchase)
(b)
Oil and gas properties A/c($570,000 + $450,000) Dr. $1,020,000
To cash $1,020,000
(To record additional testing and preparations)
(c) Depletion expense A/c Dr. $548,640
To accumulated depletion $548,640
(To record Depletion)
Workings:
Depletion expense:
= $548,640
Answer:
Thus Option A is correct. $25,120
Explanation:
S1 = 8000+0.25(14400+0.30(S1))
S1 = 8000+3600+0.075(S1)
S1 = $12,540 = $11,600 / 0.925
S2 = $18,162 = $14,400 + 0.30 ($12,540)
$25,210 = $16,000 + 0.30 ($12,540) + 0.30 ($18,162)
Answer:
He could afford to spend $133,411 for the device now.
Explanation:
The maximum the surgeon could afford for the device is equal to the sum of present value of the lawsuit costs that he can avoid in year 2 and year 5 which is:
+ Year 2: 600,000 * %out-of-pocket cost for the law suit = 600,000 * 10% = $60,000;
+ Year 5: 1,350,000 * %out-of-pocket cost for the law suit = 1,350,000 * 10% = $135,000.
=> The amount he can afford for the device = 60,000 / 1.1^2 + 135,000 / 1.1^5 = $133,411.
So, the answer is $133,411.