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Montano1993 [528]
3 years ago
12

ConsecoConseco Oil Company has an account titled Oil and Gas Properties. ConsecoConseco paid $ 6 comma 600 comma 000$6,600,000 f

or oil reserves holding an estimated 1 comma 000 comma 0001,000,000 barrels of oil. Assume the company paid $ 570 comma 000$570,000 for additional geological tests of the property and $ 450 comma 000$450,000 to prepare for drilling. During the first​ year, ConsecoConseco removed and sold 72 comma 00072,000 barrels of oil. Record all of ConsecoConseco​'s ​transactions, including depletion for the first year.
Business
1 answer:
cluponka [151]3 years ago
5 0

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:

=7,620,000\times\frac{72,000}{1,000,000}

= $548,640

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Answer:

$30,000

$6,000

Explanation:

Carlos risk = $30,000

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($30,000 - $24,000)

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The answer is A) target market.

Explanation:

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3 years ago
Hinge Manufacturing's cost of goods sold is $420,000 variable and $240,000 fixed. Thecompany's selling and administrative expens
MrRissso [65]

Answer:

Contribution margin= $960,000

Explanation:

Giving the following information:

Hinge Manufacturing's:

Cost of goods sold variable= $420,000

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8 0
3 years ago
The December 31, 2018, adjusted trial balance for Fightin' Blue Hens Corporation is presented below.
Mama L [17]

Answer:

Please see answers below

Explanation:

1. Prepare an income statement for the year ended, December 31, 2021

Fightin' Blue Hems Corporation, Income statement for the year ended, December 31, 2021.

Details

$

Service revenue

500,000

Salaries expense

400,000)

Rent expense

20,000)

Depreciation expense

40,000)

Interest expense

5,000)

Earnings for the year

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2. Prepare a statement of stockholder's equity for the year ended, 31, December, 2021

Fightin' Blue Hens Corporation statement of stockholder equity for the year ended , December 31, 2021.

Details

$

Common stock

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Retained earnings

60,000

Earnings for the year

35,000

Stockholder equity

395,000

3. Prepare a classified balance sheet as at 31, December

Fightin' Blue Hens Corporation, classified balance sheet for the hear ends, December 31, 2021.

Details

$

Fixed assets

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Accumulated depreciation

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Net fixed assets

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Current assets

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12,000

Accounts receivables

150,000

Prepaid rent

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Supplies

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Total current assets

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Current liabilities

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Salaries payable

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Interest payable

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Working capital

170,000

Long term liabilities

Notes payable (due in two years)

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Net total assets

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Financed by;

Common stock

300,000

Retained earnings

60,000

Earnings for the year

35,000

Stockholder equity

395,000

4 0
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romanna [79]

Answer:

c

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Cover brake involves taking ones foot off the accelerator and hovering it over the brake pedal.

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