Superb Company acquired a tract of land containing...
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Superb Company acquired a tract of land containing an extractable natural resource. The entity is required by the purchase contract to restore the land to a condition suitable for recreational use after it had extracted the natural resource. Geological survey indicated that the recoverable reserves will be 3,000,000 tons and that the extraction will be completed in three years. Relevant cost information follows: Q1. How much is the total cost of the resource property? Q2. What is the depletion charge per ton of extracted material? (round off to 2-decimal places. Answer format X.xx)
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