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
tensa zangetsu [6.8K]
3 years ago
8

Cantor Co. purchased a coal mine for $2,000,000. It cost $500,000 to prepare the coal mine for the extraction of the coal. It wa

s estimated that 750,000 tons of coal would be extracted from the mine during its useful life. Cantor planned to sell the property for $100,000 at the end of its useful life. During the current year, 15,000 tons of coal were extracted and sold. What would Cantor's depletion amount be per ton for the current yea
Business
1 answer:
Ksivusya [100]3 years ago
8 0

Answer:

Depletion cost  for current year $ 48,000

Explanation:

Computation of depletion amount

Purchase cost                                                                       $ 2,000,000

Preparation cost                                                                   <u>$     500,000 </u>  

Cost of mine                                                                         $ 2,500,000

Sale value at end of period                                                 <u>$(    100,000)</u>

Depletion basis of mine                                                       $ 2,400,000

Total estimated extraction from mine                                       750,000 tons

Cost of extraction per ton ( $ 2,400,000 / 750,000)        $ 3.20 per tons

Extraction during year                                                             15,000 tons

Depletion cost for the year                                                 $ 48,000                                        

You might be interested in
When group investors become aware of overseas investment opportunities and are willing to diversify their portfolios internation
sammy [17]

Answer:

they benefit from an expanded opportunity set.

Explanation:

As most of the business organizations focused on grabbing the investment opportunities which leads to diversify their business in terms of expanding the business in various locations, maximize the market share etc

This can be done with the help of opportunity set i.e. to expanded through which the firm could get the benefit of it

Hence, this would be the answer

3 0
3 years ago
On March 3, Cobra Inc. purchased a desk for $330 on account. On March 22, Cobra purchased another desk for $460 also on account,
Olin [163]

Answer:

Cobra Inc.

The amount that Cobra should report for desks is $790.

Explanation:

a) Data and Calculations:

Purchases on March 3 =    $330

Purchases on March 22 = $460

Payment on March 24 =   ($460)

Amount unpaid =               $330

b) The amount that Cobra Inc. should report as Accounts Payable at the end of March is $330.  However, in reporting for the desks, it should report $790 in assets.  This amount represents the value of desks that the company is possessing, which is financed by company cash and creditors.

4 0
3 years ago
On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances:
valentinak56 [21]

Answer and Explanation:

The Journal entry is shown below:-

1. Cash Dr, $40,000  

    To Common stock $2,000

    To Additional paid in capital $38,000

(Being issue of common stock is recorded)

2. Accounts receivables Dr, $18,800  

      To Service revenue $18,800

(Being service revenue is recorded)

3. Supplies Dr, $6,500  

       To Accounts payable $6,500

(Being supplies is recorded)

4. Treasury stock Dr, $20,900

[1,100 × $19]  

       To Cash $20,900

(Being treasury stock is recorded)

5, Accounts payable Dr, $18,100  

        To Cash $18,100

(Being cash paid is recorded)

6. Cash Dr, $50,700  

       To Service revenue $50,700

(Being cash received is recorded)

7. Cash Dr, $18,200  

      To Accounts receivables $18,200

(Being cash received is recorded)

8. Dividends Dr, $3,380

(16,000 + 2000 - 1,100) × $0.20

     To dividends payable $3,380

(Being dividends declared is recorded)

9. Cash Dr, $14,700

[700 × $21]

     To Treasury stock $13,300

[700 × $19]

       To Additional paid in capital $1,400

(Being cash is recorded)

10. Salaries expense Dr, $43,600  

        To cash $43,600

(Being salary expenses is recorded)

11. Utilities expense Dr, $7800  

      To utilities payable $7800

(Being  utilities expense is recorded)

12. Supplies expense Dr, $8,900

[$9,100 + $6,500 - $6,700]

       To supplies $8,900

(Being supplies expenses is recorded)

13. Depreciation expense Dr, $1,900

[$80,000 - $11,600] ÷ 3 × 1 ÷ 12  

       To Accumulated depreciation $1,900

(Being depreciation expense is recorded)

14. Income tax expense $2,700  

       To Income tax payable $2,700

(Being income tax expenses is recorded)

6 0
3 years ago
An investor who was not as astute as he believed invested $276,500 into an account 9 years ago. Today, that account is worth $21
Dimas [21]

Answer:

The annual rate of return is -2.83%

Explanation:

The annual rate can be calculated from the formula FV=PV*(1+r)^N

Where FV is the future value of the investment

PV is the amount invested which is $276,500

N is 9 years

213600=276,500*(1+r)^9

213600/276500=(1+r)^9

divide index on both sides by 9

(213600/276500)^1/9=1+r

(213600/276500)^1/9-1=r

r=-0.02827109

r=-2.83%

Hence the annual rate of return on the investment is -2.83%, which means the investment depleted by 2.83% from initial invested amount of $276,5000 to $213,600 after nine years

6 0
3 years ago
Read 2 more answers
What schools,parents and young people/learners can do to prevent alcohol and drug abuse amongst youth.
Anon25 [30]
I think keeping oneself occupied by relevant activities such as joining youth club that is proactive in various ongoing activities such as sports, fun field activities throughout the year on an ongoing basis can assist in keeping youth away from drugs and alcohol.
6 0
3 years ago
Other questions:
  • 1. Why are individuals so important to the NASA project teams? 2. What is the Lessons Learned Program and how might it relate to
    13·1 answer
  • Below are several transactions for Scarlet Knight Corporation. A junior accountant, recently employed by the company, proposes t
    10·1 answer
  • Suppose a hypothetical economy is currently in a situation of deficient aggregate demand of $64 billion. Four economists agree t
    5·1 answer
  • A moderately-priced jewelry store is trying to differentiate itself from other jewelry stores. The store prices products somewha
    12·1 answer
  • Elizabeth recently purchased 115 shares of a company for $10350 ($90 per share). The company has been doing well. This year, she
    10·1 answer
  • The channel of distribution consists of ___________, who assist in moving goods and services from producers to businesses and fr
    11·1 answer
  • Assume that banks hold no excess reserves and that all currency is deposited into the banking system. If the required reserve ra
    7·1 answer
  • 20 POINTS<br> What are the six ethical values AMA identifies for all marketing professionals?
    15·1 answer
  • True or False: An individual investor is more likely to engage in foreign direct investment than a corporation. True False
    9·1 answer
  • Fairlawn Partners Consulting is a management-consulting firm that provides its expertise to businesses that employ its services.
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!