Question

looks way longer than it is, thanks!

Required information [The following information applies to the questions displayed below.) On July 23 of the current year, Dakota Mining Co. pays $8,010,000 for land estimated to contain 9,000,000 tons of recoverable ore. It'installs and pays for machinery costing $990,000 on July 25. The company removes and sells 464,750 tons of ore during its first five months of operations ending on December 31. Depreciation of the machinery is in proportion to the mine's depletion as the machinery will be abandoned after the ore is mined. Required: Prepare entries to record the following. (Do not round your intermediate calculations. Round "Depletion per ton" to two decimal places and round all other answers to the nearest whole dollar) (a) The purchase of the land, (b) The cost and installation of machinery (c) The first five months depletion assuming the land has a net salvage value of zero after the ore is mined. (d) The first five months' depreciation on the machinery Complete this question by entering your answers in the tabs below. Required A Required B Required C1 Required C2 Required D1 Required D2 Prepare the journal entry to record the purchase of the land. View transaction list

Answer 1

		Dekota Mining Co.
	Date	General,Journal	Debit	Credit
a)	23-Jul	Land	$ 80,10,000.00
		To Cash		$ 80,10,000.00
		(Amount of Land purchased)
b)	25-Jul	Machinery	$    9,90,000.00
		To Cash		$    9,90,000.00
		(Amount of Machinery)
c )	31-Dec	Depletion Expense-Mineral deposit	$    4,13,627.50
		To Accumulated Depreciation-Mineral deposit		$    4,13,627.50
		(Amount of Depletion Expense)
d)	31-Dec	Depreciation	$       51,122.50
		To Machinery		$       51,122.50
		(Amount of Depreciation Expense on Machinery)
		Depletion =($8010000/9000000)*$464750
		Depreciation=($990000/9000000)*$464750