Corentine Company acquires an ore mine at a cost of $ 1,400,000. It incurs additional costs of $ 400,000 to access the mine, which is estimated to hold 1,000,000 tons of ore. The estimated value of the land after the ore is removed is $ 200,000.
1. Prepare the entry( ies) to record the cost of the ore mine.
2. Prepare the year end adjusting entry if 180,000 tons of ore are mined and sold the first year.