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Depletion Expense
A depletion expense is an accounting approach to allocate the cost of naturally occurring resources, such as minerals, oil, or timber, over their productive life as they are consumed or sold.
Mineral Rights
Legal entitlements associated with the ownership or leasing of the mineral resources beneath a piece of land, including the rights to explore, extract, and sell those minerals.
Straight-Line Method
A method of calculating depreciation of an asset, where the asset's cost is evenly distributed over its useful life.
Journalize
The process of recording transactions in an accounting journal, documenting the financial effects of transactions and events.
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