Mackay Timber Company owns timberland purchased in 2016 for $800,000. At the time of purchase,...
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Mackay Timber Company owns timberland purchased in 2016 for $800,000. At the time of purchase, the land without the timber was valued at $100,000. In 2017 , Mackay built fire lanes and roads, with a life of 30 years, at a cost of $30,000. During 2018, Mackay logged and sold 50,000 board feet of timber. The land has an estimated 800,000 board feet total. Mackay also planted new seedlings to replace the trees cut at a cost of $6,000. Based on this information, how much will Mackay record as 'Cost of Goods Sold' for the timberland logged and sold in 2018 ? Exclude any decimals or commas from your answers
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Mackay Timber Company owns timberland purchased in 2016 for $800,000. At the time of purchase, the land without the timber was valued at $100,000. In 2017 , Mackay built fire lanes and roads, with a life of 30 years, at a cost of $30,000. During 2018, Mackay logged and sold 50,000 board feet of timber. The land has an estimated 800,000 board feet total. Mackay also planted new seedlings to replace the trees cut at a cost of $6,000. Based on this information, how much will Mackay record as 'Cost of Goods Sold' for the timberland logged and sold in 2018 ? Exclude any decimals or commas from your answers 