In January 2015, Fehr Mining Corporation purchased a mineral mine for $6,061,128 with removable ore estimated by geological surveys at 2,598,777 tons. The property has an estimated value of $600,000 after the ore has been extracted. Fehr incurred $1,703,643 of development costs preparing the property for the extraction of ore. During 2015, 340,000 tons were removed and 300,000 tons were sold. What is the total amount of depletion for 2015? (do not round the depletion rate when multiplying it by units removed or sold)

In January 2015, Fehr Mining Corporation purchased a mineral mine for $6,061,128 with removable ore estimated by geological surveys at 2,598,777 tons. The property has an estimated value of $600,000 after the ore has been extracted. Fehr incurred $1,703,643 of development costs preparing the property for the extraction of ore. During 2015, 340,000 tons were removed and 300,000 tons were sold. What is the total amount of depletion for 2015? (do not round the depletion rate when multiplying it by units removed or sold)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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