What are the percentage depletion

Reference no: EM132165536

Question - The Piney Copper Company purchased an orebearing tract of land for $7,500,000. The geologist for Piney estimated the recoverable copper reserves to be 450,000 tons. During the first year, 50,000 tons was mined and 40,000 tons was sold for $4,000,000. Expenses (not including depletion allowances) were $2,500,000. What are the percentage depletion and the cost depletion allowances?

Reference no: EM132165536

Questions Cloud

Determine the loss gain or recapture of MACRS depreciation : One of its competitors agreed to buy the machine for $110,000. Determine the loss, gain, or recapture of MACRS depreciation on the sale

Determine the depreciation schedule for the assembly line : The line will be scrapped for an estimated $250,000. Using the following information, determine the depreciation schedule for the assembly line

Which path is critical if the project must be completed : Which path is critical if the project must be completed within 20 weeks?

Compute the annual depletion : The Red River oil field will become less productive each year. Compute the annual depletion (each year may be cost-based or percentage-based)

What are the percentage depletion : Expenses (not including depletion allowances) were $2,500,000. What are the percentage depletion and the cost depletion allowances

Determine the depletion allowance for each year : A 2500-acre tract of timber is purchased by the Houser Paper Company for $1,200,000. Determine the depletion allowance for each year

What kinds of management reports can be generated : What kinds of management reports can be generated from the data from these systems?

Difference between gand sponsor and title sponsor : What is the difference between gand sponsor and Title sponsor ?

Complete the problem solutions matrix : Complete the "Problem Solutions Matrix" spreadsheet using data and information you collected through research and completion of the Stakeholder Analysis

User Account

All Pages