Dvon oil acquired the rights to various oil reserves at

Devon Oil acquired the rights to various oil reserves at $ 20,000,000 in March 1, 2009. The estimated barrels of oil are 5,000,000 barrels.

(a) Determine the estimated depletion cost per barrel of oil.

(b) If 800,000 barrels are extracted the first year, what is the depletion cost for the first year .

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Dvon oil acquired the rights to various oil reserves at : devon oil acquired the rights to various oil reserves at 20000000 in march 1 2009. the estimated barrels of oil are

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