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A Company Purchased Mining Property Containing 7,350,000 Tons of Ore

Question 190

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A company purchased mining property containing 7,350,000 tons of ore for $1,837,500.In 2012 it mined and sold 857,000 tons of ore and in 2013 it mined and sold 943,000 tons of ore.Calculate the depletion expense for 2012 and 2013.What was the book value of the property at the end of 2013?

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a. $1,837,500/7,350,000 tons =...

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