On January 2, 2019, Whistler Company purchased land for $450,000, from which it is estimated that 400,000 tons of ore could be extracted. It estimates that the present value of the cost necessary to restore the land is $80,000, after which it could be sold for $30,000.
During 2019, Whistler mined 80,000 tons and sold 50,000 tons. During 2020, Whistler mined 100,000 tons and sold 120,000 tons. At the beginning of 2021, Whistler spent an additional $100,000, which increased the reserves by 60,000 tons. In 2021, Whistler mined 140,000 tons and sold 130,000 tons. Whistler uses a FIFO cost flow assumption.
Need help with question number 2. Thank you
Extracted text: 2. Complete the natural resources section of the balance sheet on December 31, 2019, 2020, and 2021, assuming that an accumulated depletion account is used. WHISTLER COMPANY Balance Sheet (partial) December 31, 2019 - 2021 December 31, 2019 Mineral ore resources Less: Accumulated depletion December 31, 2020 Mineral ore resources Less: Accumulated depletion December 31, 2021 Mineral ore resources Less: Accumulated depletion
Extracted text: 1. Calculate the depletion included in the income statement and ending inventory for 2019, 2020, and 2021. 2019 Depletion deducted from income $ 62,500 Depletion included in inventory $ 37,500 2020 Depletion deducted from income $ 150,000 Depletion included in inventory 12,500 2021 Depletion deducted from income 173,300 Depletion included in inventory 26,800