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  3. 2. the following transactions relate to one lease:

2. The following transactions relate to one lease: a. On March 10, 2007, Core Oil...

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Accounting

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2. The following transactions relate to one lease: a. On March 10, 2007, Core Oil Company paid delinquent property taxes of $2,000 on an undeveloped lease. Assume that these taxes are recoverable out of future delay rental or royalty payments. Give the entry to record payment. b. On February 15, 2008, a delay rental payment of $800 is due. Determine the amount of cash actually paid and give the entry to record payment. c. On July 21, 2008, Core Oil Company decided to surrender the lease. Give the entry to record abandonment with respect to the delinquent property taxes. Ignore acquisition costs of the property d. Assume instead that the $2,000 payment of delinquent taxes was not recoverable and was made at the time Core Oil was acquiring the lease. Give the entry to record the payment. e. Assume instead that the $2,000 payment was not recoverable and was made by Core Oil six months after acquiring the lease in order to protect Core's investment. Give the entry to record the payment

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