McKinley Industries purchased a piece of equipment for their…

McKinley Industries purchased a piece of equipment for their manufacturing facilities and paid with a 3-year, zero-interest bearing $150,000 notes payable.  Assuming a 5-year useful life and no salvage value, how much straight-line depreciation expense would McKinley record for this asset each year?  McKinley typically borrows at a rate of 5%. The present value of one for 3-periods at 5% is: .86384 The present value of one for 5-periods at 5% is: .78353 Round all calculations to whole dollars.

Barton Corporation acquired a coal mine for $2,000,000. Inta…

Barton Corporation acquired a coal mine for $2,000,000. Intangible development costs totaled $390,000. After extraction is completed, Barton must restore the property. The estimated fair value of the obligation is $210,000, after which the company estimates that it can be sold for $310,000. Barton estimates that 5,000 tons of coal can be extracted. What is the amount of depletion per ton?