Assume the following data for the following wells commingled production tanks on the Wilmington Ranch located in LaVaca County, Texas. Measured production is 2,228 barrels from Lease C and 2,280 barrels from Lease D. After treatment at the central tank battery, 4,500 barrels are sold. Lease C Wells 24-Hr Test (bbl) Days Produced Well 1 30 28 Well 2 40 30 Lease D Wells 24-Hr Test (bbl) Days Produced Well 1 20 30 Well 2 35 30 Well 3 50 26 Current Spot Oil Price Severance Tax Rate Working Interest $46.00/bbl 5% 100% 1/8th Royalty interest Prepare entries recognizing revenue at time of sale if the OPERATOR assumes the responsibility of distributing severance taxes and royalty. What amount of gross revenue, royalty, severance taxes and net revenue should the Operator record for each well (Lease C- Well 1 & Well 2 and Lease D - Well 1, Well 2, & Well 3)?

Assume the following data for the following wells commingled production tanks on the Wilmington Ranch located in LaVaca County, Texas. Measured production is 2,228 barrels from Lease C and 2,280 barrels from Lease D. After treatment at the central tank battery, 4,500 barrels are sold. Lease C Wells 24-Hr Test (bbl) Days Produced Well 1 30 28 Well 2 40 30 Lease D Wells 24-Hr Test (bbl) Days Produced Well 1 20 30 Well 2 35 30 Well 3 50 26 Current Spot Oil Price Severance Tax Rate Working Interest $46.00/bbl 5% 100% 1/8th Royalty interest Prepare entries recognizing revenue at time of sale if the OPERATOR assumes the responsibility of distributing severance taxes and royalty. What amount of gross revenue, royalty, severance taxes and net revenue should the Operator record for each well (Lease C- Well 1 & Well 2 and Lease D - Well 1, Well 2, & Well 3)?

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter12: Activity-based Management

Section: Chapter Questions

Problem 22E: The activity of moving materials uses four forklifts, each leased for 18,000 per year. A forklift is...

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Assume the following data for the following wells commingled production tanks on the Wilmington Ranch located in LaVaca County, Texas. Measured production is 2,228 barrels from Lease C and 2,280 barrels from Lease D. After treatment at the central tank battery, 4,500 barrels are sold. Lease C Wells Well 1 24-Hr Test (bbl) 30 Days Produced 28 Well 2 40 30 Lease D Wells 24-Hr Test (bbl) Days Produced Well 1 20 30 Well 2 35 30 Well 3 50 26 Current Spot Oil Price Severance Tax Rate $46.00/bbl 5% Working Interest Royalty interest 100% 1/8th Prepare entries recognizing revenue at time of sale if the OPERATOR assumes the responsibility of distributing severance taxes and royalty. English (United States)
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The activity of moving materials uses four forklifts, each leased for 18,000 per year. A forklift is capable of making 5,000 moves per year, where a move is defined as a round trip from the plant to the warehouse and back. During the year, a total of 18,000 moves were made. What is the cost of the unused capacity for the moving goods activity? a. 5,400 b. 1,800 c. 7,200 d. 3,600
The following data shows the different sizes of pipes which a company wishes to use as a replacement for the old pipe system that they are using. Diameter = 100mm Cost of Pipe=P1800000 Annual Maintenance Cost-P88000 Operating cost/hour=P480 Diameter = 150mm Cost of Pipe=P1120000 Annual Maintenance Cost=P136000 Operating cost/hour=P500 Diameter = 250mm Cost of Pipe=P1000000 Annual Maintenance Cost-P60000 Operating cost/hour=P620 Total number of operating hours per year = 500 Replacement is done Money is worth 10% annually. every 10 years Compute the equivalent annual cost of the 100mm pipe. Key in your answers in 2 decimal places. Do not upload any file. Do not use commas to parate place values and do not include a unit. Example, if your answer is P3,4201.8034 please type 34201.80