At the beginning of 2021, Terra Lumber Company purchased a timber tract from Boise Cantor for $4,300,000. After the timber is cleared, the land will have a residual value of $660,000. Roads to enable logging operations were constructed and completed on March 30, 2021. The cost of the roads, which have no residual value and no alternative use after the tract is cleared, was $364,00. During 2021, Terra logged 640,000 of the estimated 6.4 million board feet of timber. Required:
Calculate the 2021 depletion of the timber tract and depreciation of the logging roads assuming the units-of-production method is used for both assets. (Do not round intermediate calculations.)
1. Depletion of the timber tract
2. Depreciation of the logging roads

Ardmore farm and seed has an inventory dilemma. they have been selling a brand of very popular insect spray for the past year. they have never really analyzed the costs incurred from ordering and holding the inventory and currently fave a large stock of the insecticide in the warehouse. they estimate that it costs $25 to place an order, and it costs $0.25 per gallon to hold the spray. the annual requirements total 80,000 gallons for a 365 day year.a. assuming that 10,000 gallons are ordered each time an order is placed, estimate the annual inventory costs.b. calculate the eoq.c. given the eoq calculated in part b., how many orders should be placed and what is the average inventory balance? d. if it takes seven days to receive an order from suppliers, at what inventory level should ardmore place another order?

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Estimate the prouduct sovle using an area modelestimate the product you solve using an area model and the standard algorithm.remeber to express your products in the standard form