If a Mining Company Extracts 2,000,000 Tons in a Period

question 33

Multiple Choice

If a mining company extracts 2,000,000 tons in a period but only sells 1,600,000 tons,

• A)total depletion on the mine is based on the 1,600,000 tons.
• B)depletion expense is recognized on the 2,000,000 tons extracted.
• C)depletion expense is recognized on the 1,600,000 tons extracted and sold.
• D)a separate accumulated depletion account is set up to record depletion on the 400,000 tons extracted but not sold.

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Definitions:

Series Circuit

An electrical circuit in which components are connected in a linear sequence, ensuring the same current flows through all components.

Applied Voltage

The voltage that is externally applied to an electrical component or circuit, influencing its operation or behavior.

Total Resistance

The sum of all resistances in an electrical circuit, influencing the overall current flow.

Ohm's Law

A fundamental principle stating that the current through a conductor between two points is directly proportional to the voltage across the two points, given the resistance remains constant.