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Feller Company purchased a site for a limestone quarry for $100,000 on January 2, 2013. It estimates that the quarry will yield 400,000 tons of limestone. It estimates that its retirement obligation has a fair value of $20,000, after which the land could be sold for $10,000. In 2013, 80,000 tons were quarried and 60,000 tons sold. Costs of production are $4 per ton.
Required:
Gardner Corporation purchased a truck at the beginning of 2010 for $75,000. The truck is estimated to have a salvage value of $3,000 and a useful life of 120,000 miles. It was driven 18,000 miles in 2010 and 32,000 miles in 2011. What is the depre..
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