DepletionExpensePrepare the entry to record the cost of the ore mine and year-end adjusting entry.GeneralJournalView transaction listJournal entry worksheet< ABRecord the cost of the ore mine in cash.Transaction1Note: Enter debits before credits.General JournalDebitCredit Perez Company acquires an ore mine at a cost of $2,940,000. It incurs additional costs of $823,200 to access the mine, which isestimated to hold 2,100,000 tons of ore. 235,000 tons of ore are mined and sold the first year. The estimated value of the land afterthe ore is removed is $420,000. Calculate the depletion expense from the information given.1. & 2. Prepare the entry to record the cost of the ore mine and year-end adjusting entry.Complete this question by entering your answers in the tabs below.DepletionExpenseCalculate the depletion expense from the information given. (Round "Depletion per unit" to 3 decimal places.)GeneralJournalCostSalvageAmount subject to depletionTotal units of capacityDepletion per unitUnits extracted and sold in periodDepletion expense

S.No Particulars Amount ($) a Cost 3763200 b Salvage Value 420000 c Amount Subject to…

Answered: Prepare the entry to record the cost of…

Business

Accounting

Prepare the entry to record the cost of the ore mine and year-end adjusting entry.

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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