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Problem 1: During 2017, Bolton Corporation acquired a mineral mine for $1,800,000 of which $200,000 was determined to be the salvage value of the land after the mineral has been removed. Geological surveys have indicated that 10 million units of the mineral could be extracted. During 2017, 1,500,000 units were extracted and 1,200,000 units were sold. What is the amount of depletion affecting the 2017 income statement?
Select one:
a. $240,000b. $216,000c. $180,000d. $192,000e. $270,000
has accounts receivable of $700,000 and an allowance for doubtful accounts of $25,000
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