installs machinery costing 683760 that has a 10year life and

installs machinery costing $683,760 that has a 10-year life and no salvage value and is capable of mining the ore deposit in eight years. The machinery is paid for on July 25, seven days before mining operations begin. The company removes and sells 503,750 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) To record the purchase of the land. (b) To record the cost and installation of machinery. (c) To record the first five months\' depletion assuming the land has a net salvage value of zero after the ore is mined. (d) To record 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 To record the first five months\' depreciation on the machinery. Select formula for Units of Production Depreciation Calculate Depreciation expense Depreciation per ton Tonnage Depreciation expense Required C2 Required D2>

Solution

It is assumed here that you require assistance on how to calculate depreciation expenses here. Please note that depreciation expesnes would be calculated by divind total cost of the machine by total units capacity given in the question(though not here). Lets assume that the total capacity of the machine is 136752 tons. Accordingly, depreciation per ton would be 683760 / 136752 = $ 5 per ton.

Further, depreciation for 5 months would be 503750 x 5 = $ 2518750.

Accrodingly, entry for depreciation would be

Debit Depreciation A/c by $ 2518750

Credit Acc. Dep A/c by $ 2518750

***if require exact amount let know the capacity in the comments section, if not then please give a like if you find this helpful to self understand. Thanks***