Fundamentals of Oil & Gas Accounting 5th Edition by Rebecca Gallun, Charlotte Wright

تمرين 26

Give the entry to record abandonment in each of the following cases.
a. Gaylene Energy Company abandoned an unproved property that cost $150,000.
The property was considered significant and had been impaired $100,000 on an
individual basis.
b. Gaylene also abandoned an unproved property that was not considered individually
significant. The property cost $10,000, and the group allowance account had a
balance of $400,000 at the time of the abandonment.