1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
alukav5142 [94]
3 years ago
10

On July 1, 2015, Friedman Inc. invested $717,963 in a mine estimated to have 806,700 tons of ore of uniform grade. During the la

st 6 months of 2015, 103,700 tons of ore were mined and sold.
(a) Calculate depletion cost per unit. (Round answer to 2 decimal places, e.g. 0.50.)

(b) Prepare the journal entry to record depletion expense. (Round answer to 0 decimal places, e.g. 2,125. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

(c) Assume that the 103,700 tons of ore were mined, but only 87,000 units were sold. How are the costs applicable to the 16,700 unsold units reported?
Business
1 answer:
yaroslaw [1]3 years ago
5 0

Answer:

The computations are shown below:

Explanation:

(a) Depletion cost per unit

Depletion cost per unit

= $717,963 ÷ 806,700 tons

= $0.89 per ton

(b) The Journal entry to record depletion expense is

Depletion Expense                   A/c Dr     $ 92,293     (103,700 tons × $0.89)

          To To Accumulated Depletion      A/c   $ 92,293

(Being the depletion expense is recorded)

(c) The cost applicable is

= 16,700 unsold units × $0.89

= $14,863  

You might be interested in
Saar Associates sells two licenses to Kim & Company on September 1, 2021. First, in exchange for $100,000, Saar provides Kim
Vladimir79 [104]

$110,000 revenue will Saar recognise in 2021 under this arrangement

Solution:

First, in exchange for $100,000

Second, in exchange for $90,000

Saar provides Kim with a three-year right to market Kim's financial advisory services under the name of Saar Associates , Whereas to calculate the revenue :  \frac{4}{36} = \frac{1}{9} ( 90,000)

So , 100,000 + 10,000 = 110,000

6 0
3 years ago
How does your credit score affect the price you pay for insurance? Discuss at least two methods for improving your credit score.
kodGreya [7K]
Get the app credit carma and got to glivinski n' associates
6 0
3 years ago
"The owner of a small restaurant that sells take-out fried chicken and biscuits pays $2,500 in rent each month, $500 in utilitie
natulia [17]

Answer:

Break-even point (dollars)= $9,976.25

Explanation:

Giving the following information:

Fixed costs:

Rent $2,500

Utilities $500

Interest $750

An insurance premium of $200

Advertising on local bus $250 a month

Total= $4,200

A small bucket of take-out chicken, the only menu item, is priced at $9.50. Unit variable costs for the bucket of chicken are $5.50.

To calculate the break-even point in dollars, we need to use the following formula:

Break-even point (dollars)= fixed costs/ contribution margin ratio

Break-even point (dollars)=  4,200/ [(9.5 - 5.5)/9.5]

Break-even point (dollars)= 4,200/0.421

Break-even point (dollars)= $9,976.25

7 0
3 years ago
What effect do challenging team goals have on social loafing?
dmitriy555 [2]
I think it’s C but I’m not quite sure about that
6 0
2 years ago
On December 31, 2020, McDaniel Company had $1,200,000 of short-term debt in the form of notes payable due February 2, 2021. On J
o-na [289]

Answer and Explanation:

The preparation is presented below:

<u>                                                  McDaniel Company </u>

<u>                                                  Partial balance sheet</u>

Particulars                                      Amount

Current liabilities

Note payable                                 $250,000

Long term debt

Note payable refinance                $950,000

Total liabilities                                $1,200,000

We simply added the long term debt and the current liabilities so that the total liabilities could come

8 0
3 years ago
Other questions:
  • Auerbach Inc. issued 4% bonds on October 1, 2021. The bonds have a maturity date of September 30, 2031 and a face value of $300
    6·1 answer
  • A firm's _____ resources are also known as labor. economic human intangible financial natural
    13·1 answer
  • Despite zero population growth, why is the population of the United States growing?
    11·1 answer
  • Do left-handed or right-handed people make more money? one study1 recorded the hourly earnings for a random sample of american m
    5·1 answer
  • Using the accounting equation to analyze transactionsElaine’s Inflatables earns service revenue by providing party planning serv
    10·1 answer
  • Maryland Incorporated produces toys. Total manufacturing costs are $ 370 comma 000 when 90 comma 000 toys are produced. Of this​
    5·1 answer
  • Fixed costs may be relevant in a decision.<br> A. True<br> B. False
    11·1 answer
  • Product, price, place, and promotion are the four elements in the
    6·1 answer
  • kari’s boss has offered to pay her for up to 5 hours of overtime today. akari has already been working for 10 hours and is decid
    6·1 answer
  • Suppose there is a simultaneous increase in demand and decrease in supply, what effect will this have on the equilibrium price?
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!