E&P Oil Company, Inc. became interested in acquiring an unproven lease that had delinquent taxes of $3,450 due and a past due mortgage payment of $1,645. An agreement was written up between E&P Oil Company, Inc. and the holder of the lease (lessor) that, should E&P acquire the lease, the lessor would reimburse E&P the funds out of fut.
Write the initial entry when E&P paid the taxes and mortgage paymenture delay rental payments (should a delay in rewrite the entry when E&P successfully acquired the lease but failed to begin development by the lease deadline and owed $1,500 in delay rental fees to the lessorvelopment happen beyond the written terms