13. During 2022, Tyler Corporation incurred the following costs in connection with the Kenley lease: a. Acquired the 600 acre Kenley at a lease bonus of $350 per acre and other costs of $50,000 b. Incurred the following costs in connection with Kenley #1: 1. G&G costs to locate the wellsite 15,000 ii. Surface Damages 75,000 iii. Surface Casing 35,000 iv. Contractors fee - day rate 875,000 v. Equipment rentals 1,000,000 vi. Drilling fluids 175,000 vii. Fuel 45,000 viii. Drill bits 100,000 ix. Cementing Services 25,000 x. Casing Crews 30,000 xi. Roustabout labor 40,000 xii. Hauling and Transportation 37,500 xiii. Production casing 36,000 xiv. Tank Battery 55,000 xv. Lines and connections 27,500 xvi. Pumping unit motor and accessories 250,000 xvii. Casing head and connections 32,500 xviii. Tubing 42,500 xix. Separating and treating equipment 35,500 xx. Measuring equipment 1,500 xxi. Downhole pump and rods 28,000 Record the above transactions Hint: The type of equipment installed when the well reached the target depth indicates whether the well was successful or dry.
13. During 2022, Tyler Corporation incurred the following costs in connection with the Kenley lease: a. Acquired the 600 acre Kenley at a lease bonus of $350 per acre and other costs of $50,000 b. Incurred the following costs in connection with Kenley #1: 1. G&G costs to locate the wellsite 15,000 ii. Surface Damages 75,000 iii. Surface Casing 35,000 iv. Contractors fee - day rate 875,000 v. Equipment rentals 1,000,000 vi. Drilling fluids 175,000 vii. Fuel 45,000 viii. Drill bits 100,000 ix. Cementing Services 25,000 x. Casing Crews 30,000 xi. Roustabout labor 40,000 xii. Hauling and Transportation 37,500 xiii. Production casing 36,000 xiv. Tank Battery 55,000 xv. Lines and connections 27,500 xvi. Pumping unit motor and accessories 250,000 xvii. Casing head and connections 32,500 xviii. Tubing 42,500 xix. Separating and treating equipment 35,500 xx. Measuring equipment 1,500 xxi. Downhole pump and rods 28,000 Record the above transactions Hint: The type of equipment installed when the well reached the target depth indicates whether the well was successful or dry.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:13. During 2022, Tyler Corporation incurred the following costs in connection with
the Kenley lease: a. Acquired the 600 acre Kenley at a lease bonus of $350 per acre
and other costs of $50,000 b. Incurred the following costs in connection with
Kenley #1: i. G&G costs to locate the wellsite 15,000 ii. Surface Damages 75,000 iii.
Surface Casing 35,000 iv. Contractors fee - day rate 875,000 v. Equipment rentals
1,000,000 vi. Drilling fluids 175,000 vii. Fuel 45,000 viii. Drill bits 100,000 ix.
Cementing Services 25,000 x. Casing Crews 30,000 xi. Roustabout labor 40,000 xii.
Hauling and Transportation 37,500 xiii. Production casing 36,000 xiv. Tank Battery
55,000 xv. Lines and connections 27,500 xvi. Pumping unit motor and accessories
250,000 xvii. Casing head and connections 32,500 xviii. Tubing 42,500 xix.
Separating and treating equipment 35,500 xx. Measuring equipment 1,500 xxi.
Downhole pump and rods 28,000 Record the above transactions Hint: The type of
equipment installed when the well reached the target depth indicates whether the
well was successful or dry.
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