Alcide mining company purchased land on february 1 2014 at


Alcide Mining Company purchased land on February 1, 2014, at a cost of $1,480,560. It estimated that a total of 64,000 tons of mineral was available for mining. After it has removed all the natural resources, the company will be required to restore the property to its previous state because of strict environmental protection laws. It estimates the fair value of this restoration obligation at $177,840. It believes it will be able to sell the property afterwards for $197,600. It incurred developmental costs of $395,200 before it was able to do any mining. In 2014, resources removed totaled 32,000 tons. The company sold 25,600 tons.

Compute the following information for 2014.

1. Per unit mineral cost.

2. Total material cost of December 31, 2014, inventory

3. Total materials cost in cost of goods sold at December 31, 2014.

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: Alcide mining company purchased land on february 1 2014 at
Reference No:- TGS01595017

Expected delivery within 24 Hours