question archive Monty Corporation, a publicly traded mining company, acquires a mine at a cost of $530,000
Monty Corporation, a publicly traded mining company, acquires a mine at a cost of $530,000
Subject:AccountingPrice: Bought3
Monty Corporation, a publicly traded mining company, acquires a mine at a cost of $530,000. Capitalized development costs total $133,500. After the mine is depleted, $77,500 will be spent to restore the property, after which it can be sold for $160,000. Monty estimates that 5,000 tonnes of ore can be mined.
Assuming that 850 tonnes are extracted in the first year, Make the journal entry to record depletion.
