Question - Kent Oil, a small texas oil company, hold huge reserves of oil and gas assets. Assume that at teh end of 2008m Kent's cost of mineral assets totaled approximately $18 milion m representilng 2.4 milion barrels of oil and gas reserves in the ground.
1. Which depletion method does Kent use to compute its annual deloetion expense for the minerals remove from the ground?
2. Suppose Kent removed 0.8 milion barrels of oil during 2009. Record Kent's depletion exxpense for 2009.
Could you answer the question on the New MS Excel file? Thank you sir!