Kotter Mining Company purchases a gravel pit for $2,500,000 . It estimates that 5,000,000 tons of gravel can be extracted over the pit's useful life. If 1,000,000 tons are extracted during the first year but only 750,000 tons are sold, what amount should be recorded for Gravel Inventory and Accumulated Depletion, respectively?
a. $125,000 and 375,000
b. $375,000 and $125,000
c. $375,000 and 375,000
d. $125,000 and $500,000
D
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The GLOBE project is an ongoing cross-cultural investigation of nine cultural dimensions involved in ___ processes.
A. family and relationship B. leadership and organizational C. MBO and planning D. diversity and synergy E. profit and cost-cutting
Premium on Bonds Payable should be classified as an adjunct-liability account
a. True b. False Indicate whether the statement is true or false
Which of the following is an example of innovation?
A. A company lowers the price of its traditional product. B. A company charges fees for late returns of rentals. C. A company reduces its staff to cut operating costs. D. A company invents a new way to deliver digital content. E. A company redecorates its stores to look up to date.
An important purpose of closing entries is to
a. help in preparing financial statements. b. set real account balances to zero to begin the next period. c. set nominal account balances to zero to begin the next period. d. adjust the accounts in the ledger.