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Business, 07.04.2020 23:09 aronrobinson4
On July 1, 2015, Friedman Inc. invested $717,963 in a mine estimated to have 806,700 tons of ore of uniform grade. During the last 6 months of 2015, 103,700 tons of ore were mined and sold.
(a) Calculate depletion cost per unit. (Round answer to 2 decimal places, e. g. 0.50.)
(b) Prepare the journal entry to record depletion expense. (Round answer to 0 decimal places, e. g. 2,125. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)
(c) Assume that the 103,700 tons of ore were mined, but only 87,000 units were sold. How are the costs applicable to the 16,700 unsold units reported?
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On July 1, 2015, Friedman Inc. invested $717,963 in a mine estimated to have 806,700 tons of ore of...
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