On 1 April 2013,Ulladulla Mining Ltd Assessed That Its Mollymook

question 37

Multiple Choice

On 1 April 2013,Ulladulla Mining Ltd assessed that its Mollymook area of interest contained economically recoverable reserves of 50 000 ounces of gold.On the same day the entity installed the following assets: $$\begin{array} { | l | r | r | } \hline & \text { Cost } & \text { Useful life } \\\hline \text { Mine site building } & \$ 1500000 & 20 \text { years } \\\hline \text { Mining equipment } & 2400000 & 15 \text { years } \\\hline \text { Machineries and equipment (portable) } & 750000 & 8 \text { years } \\\hline\end{array}$$ The above assets were ready for use on 1 July 2013.Ulladulla Mining Ltd expects to extract the entire reserves in 5 years.For the year ending 30 June 2014 the entity had extracted 5000 ounces of gold.
What is the journal entry to recognise amortisation and depreciation expense of above capitalised developments costs?

---

Definitions:

Perceived Stress

The subjective assessment of how much stress one feels in response to environmental or internal stimuli.

Cognitive Behavioral Interventions

Therapeutic approaches that aim to change patterns of thinking or behavior that are causing people's suffering or impeding their progress towards personal goals.

HIV-Positive

A status indicating that an individual has been infected by the Human Immunodeficiency Virus, which attacks the immune system.

Cognitive Behavioral Therapy

A form of psychological therapy aimed at helping individuals recognize the thoughts and emotions that affect their actions.