Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. marigold's drillers erects and places into service

Marigold's Drillers erects and places into service an off-shore oil platform on January 1,2025 ,...

70.2K

Verified Solution

Question

Accounting

image

Marigold's Drillers erects and places into service an off-shore oil platform on January 1,2025 , at a cost of $12,980,000. Marigold estimates it will cost $951,000 to dismantle and remove the platform at the end of its useful life in 10 years, which the company is legally required to do. (The fair value at January 1,2025 , of the dismantle and removal costs is $430,000.) Prepare the entry to record the asset retirement obligation. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students