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Business, 07.05.2021 16:30 Greghairston9813

A Company owns 9,000 acres of timberland purchased in 2006 at a cost of $1,722 per acre. At the time of purchase, the land without the timber was valued at $492 per acre. In 2007, They built fire lanes and roads, with a life of 30 years, at a cost of $103,320. Every year, they sprays to prevent disease at a cost of $3,690 per year and spends $8,610 to maintain the fire lanes and roads. During 2008, the company selectively logged and sold 861,000 board feet of timber, of the estimated 4,305,000 board feet. In 2009, the company planted new seedlings to replace the trees cut at a cost of $123,000. The company has not logged since 2008. If they logged and sold 1,107,000 board feet of timber in 2019, when the timber cruise (appraiser) estimated 6,150,000 board feet, determine the cost of timber sold related to depletion for 2019.

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A Company owns 9,000 acres of timberland purchased in 2006 at a cost of $1,722 per acre. At the time...
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