Solved A company purchased an ore mine for $1,837,500
A company purchased an ore mine for $1,837,500 containing an estimated 7,350,000 tons of ore. When mining is complete, the property will have no salvage value. In Year 1, it mined and sold: 857,000 tons of ore. Calculate the depletion expense for Year 1 and prepare the journal entry to r: ecord the depletion.