Porter Resources Company acquired a tract of land containing an extractable natural resource. Porter is required by its purchase contract to restore the land to a condition suitable for recreational use after it has extracted the natural resource. Geological surveys estimate that the recoverable reserves will be 2,000,000 tons, and that the land will have a value of $ 1,000,000 after restoration. Relevant cost information follows:
Multiple Choice Question 110
In 2014, shop reported net income of $ 5.7 billion, net sales of $ 175 billion, and average total assets of $ 70 billion. What is Bargain shop ' s return on total assets?
Multiple Choice Question 106
In 2006, Jarrett Company purchased a tract of land as a possible future plant site. In January, 2014, valuable sulphur deposits were discovered on adjoining property and Jarrett Company immediately began explorations on its property. In December, 2014, after incurring $ 800,000 in exploration costs, which were accumulated in an expense account, Jarrett discovered sulphur deposits appraised at $ 4,500,000 more than the value of the land. To record the discovery of the deposits, Jarrett should
Multiple Choice Question 66