Lucky Drilling Company acquires a mineral deposit at a cost of $5,900,000. It incurs additional costs of $600,000 to access the deposit, which is estimated to contain 2,000,000 tons and is expected to take 5 years to extract. Compute the depletion expense for the first year assuming 418,000 tons were mined.

Belcher Inc. maintains a $400 petty cash fund. On January 31, the fund is replenished. The accumulated receipts on that date represent $110 for office supplies, $140 for merchandise inventory, and $70 for miscellaneous expenses. There is a cash overage of $4. The journal entry to replenish the fund on January 31 is:

On December 1, Walker Enterprises signed a $24,000, 60-day, 4% note payable as replacement of an account payable with Elliot Company. What is the journal entry that should be recorded upon signing the note?

Steve’s Charters immediately paid $500 cash for utilities for the current month. Given the choices below, determine the general journal entry that Steve’s Charters will make to record this transaction.

Tallahassee Recording Studio purchased $7,800 in electronic components from Music Unlimited. Tallahassee signed a 60-day, 8% promissory note for $7,800. Music Unlimited’s journal entry to record the sales transaction is:

Council Company uses a perpetual inventory system and the gross method of accounting for purchases. The company purchased $9,750 of merchandise on August 7 with terms 1/10, n/30. On August 11, it returned $1,500 worth of merchandise. On August 16, it paid the full amount due. The correct journal entry to record the purchase on August 7 is:

On December 1, Walker Enterprises signed a $24,000, 60-day, 4% note payable as replacement of an account payable with Elliot Company. What is the journal entry that should be recorded upon signing the note?

Belcher Inc. maintains a $400 petty cash fund. On January 31, the fund is replenished. The accumulated receipts on that date represent $110 for office supplies, $140 for merchandise inventory, and $70 for miscellaneous expenses. There is a cash overage of $4. The journal entry to replenish the fund on January 31 is:

Given the following errors, identify the one by itself that will cause the trial balance to be out of balance.

Miami Mining acquires a granite quarry at a cost of $590,000, which is estimated to contain 200,000 tons of granite and is expected to take 6 years to remove. What journal entry would be needed to record the expense for the first year assuming 38,000 tons were removed and sold?