{"id":8665,"date":"2024-04-15T03:04:13","date_gmt":"2024-04-15T03:04:13","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=8665"},"modified":"2024-04-15T03:04:13","modified_gmt":"2024-04-15T03:04:13","slug":"the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/","title":{"rendered":"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00"},"content":{"rendered":"<p>\r\n    <!-- Check if it's an AMP page -->\r\n            <!-- Non-AMP version -->\r\n        <div class=\"mcq-container\" data-quiz-id=\"quizState_6a9ae91027337\">\r\n                                            <div class=\"option\" data-option-key=\"option1\" data-is-correct=\"false\">\r\n                    $ 5,000,000.00                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option2\" data-is-correct=\"false\">\r\n                    $ 5,010,000.00                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option3\" data-is-correct=\"true\">\r\n                    $ 5,025,000.00                <\/div>\r\n                                            <div class=\"option\" data-option-key=\"option4\" data-is-correct=\"false\">\r\n                    $ 5,050,000.00                <\/div>\r\n                            \r\n            <!-- Feedback messages for non-AMP -->\r\n            <div class=\"feedback\" data-feedback=\"wrong\">Answer is Right!<\/div>\r\n            <div class=\"feedback\" data-feedback=\"right\">Answer is Wrong!<\/div>\r\n        <\/div>\r\n\r\n        <script>\r\n        document.addEventListener('DOMContentLoaded', function () {\r\n            var containers = document.querySelectorAll('.mcq-container');\r\n\r\n            containers.forEach(function(container) {\r\n                var options = container.querySelectorAll('.option');\r\n                var feedbackSelect = container.querySelector('[data-feedback=\"select\"]');\r\n                var feedbackWrong = container.querySelector('[data-feedback=\"wrong\"]');\r\n                var feedbackRight = container.querySelector('[data-feedback=\"right\"]');\r\n\r\n                options.forEach(function(option) {\r\n                    option.addEventListener('click', function() {\r\n                        var selectedOption = option.getAttribute('data-option-key');\r\n                        var isCorrect = option.getAttribute('data-is-correct') === 'true';\r\n\r\n                        \/\/ Remove previous selections\r\n                        options.forEach(function(opt) {\r\n                            opt.classList.remove('correct', 'incorrect');\r\n                        });\r\n\r\n                        \/\/ Add the correct\/incorrect class\r\n                        if (isCorrect) {\r\n                            option.classList.add('correct');\r\n                            feedbackRight.hidden = false;\r\n                            feedbackWrong.hidden = true;\r\n                        } else {\r\n                            option.classList.add('incorrect');\r\n                            feedbackRight.hidden = true;\r\n                            feedbackWrong.hidden = false;\r\n                        }\r\n\r\n                        \/\/ Hide select feedback\r\n                        feedbackSelect.hidden = true;\r\n                    });\r\n                });\r\n            });\r\n        });\r\n        <\/script>\r\n    \r\n    <!--more--><\/p>\n<p>The correct answer is $\\boxed{\\$5,025,000.00}$.<\/p>\n<p>The depletion charge is the amount of money that is used to recover the cost of an asset over its useful life. In this case, the asset is the oil well, and the useful life is the estimated number of barrels of oil that it will contain. The depletion charge is calculated by dividing the cost of the asset by the estimated number of barrels of oil that it will contain. In this case, the cost of the asset is $50,000,000 and the estimated number of barrels of oil that it will contain is 5,000,000. Therefore, the depletion charge is $10 per barrel.<\/p>\n<p>In the year where the oil well produces half million barrels of oil, the <div class=\"youtube-subscribe-container\">\r\n        <a href=\"https:\/\/www.youtube.com\/channel\/UCNHT8lW-JmLC68rjBfZhdkg?sub_confirmation=1\" target=\"_blank\" class=\"youtube-subscribe-button\">\r\n            <span class=\"youtube-icon\">\r\n                <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 576 512\">\r\n                    <path d=\"M549.7 124.1c-6.3-23.7-24.8-42.3-48.3-48.6C458.8 64 288 64 288 64S117.2 64 74.6 75.5c-23.5 6.3-42 24.9-48.3 48.6-11.4 42.9-11.4 132.3-11.4 132.3s0 89.4 11.4 132.3c6.3 23.7 24.8 41.5 48.3 47.8C117.2 448 288 448 288 448s170.8 0 213.4-11.5c23.5-6.3 42-24.2 48.3-47.8 11.4-42.9 11.4-132.3 11.4-132.3s0-89.4-11.4-132.3zm-317.5 213.5V175.2l142.7 81.2-142.7 81.2z\"\/>\r\n <div class=\"telegram-channel-container\">\r\n        <a href=\"https:\/\/t.me\/pscnotes2025\" target=\"_blank\" class=\"telegram-channel-button\">\r\n            <span class=\"telegram-icon\">\r\n                <svg xmlns=\"http:\/\/www.w3.org\/2000\/svg\" viewBox=\"0 0 496 512\">\r\n                    <path fill=\"white\" d=\"M248,8C111,8,0,119,0,256s111,248,248,248s248-111,248-248S385,8,248,8z M362,177L320,367c-3,14-10,18-20,14l-56-41l-27,26 c-3,3-5,5-10,5l4-63L323,196c5-5-1-7-8-3l-98,62l-42-13c-9-3-10-9,2-14l162-63C351,160,365,164,362,177z\"\/>\r\n                <\/svg>\r\n            <\/span>\r\n            Join Our Telegram Channel\r\n        <\/a>\r\n    <\/div>                <\/svg>\r\n            <\/span>\r\n            Subscribe on YouTube\r\n        <\/a>\r\n    <\/div> depletion charge is $5,025,000. This is calculated by multiplying the depletion charge per barrel ($10) by the number of barrels produced (500,000).<\/p>\n<p>The unit method of depletion is a method of calculating depletion that uses the actual number of units produced. In this case, the unit is a barrel of oil. The factor method of depletion is a method of calculating depletion that uses a predetermined factor. In this case, the factor is $10 per barrel.<\/p>\n<p>The unit method of depletion is more accurate than the factor method of depletion because it takes into account the actual number of units produced. However, the factor method of depletion is simpler to calculate.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Subscribe on YouTube<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[656],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00\" \/>\n<meta property=\"og:description\" content=\"Join Our Telegram Channel Subscribe on YouTube\" \/>\n<meta property=\"og:url\" content=\"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/\" \/>\n<meta property=\"og:site_name\" content=\"MCQ and Quiz for Exams\" \/>\n<meta property=\"article:published_time\" content=\"2024-04-15T03:04:13+00:00\" \/>\n<meta name=\"author\" content=\"rawan239\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"rawan239\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/","og_locale":"en_US","og_type":"article","og_title":"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00","og_description":"Join Our Telegram Channel Subscribe on YouTube","og_url":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/","og_site_name":"MCQ and Quiz for Exams","article_published_time":"2024-04-15T03:04:13+00:00","author":"rawan239","twitter_card":"summary_large_image","twitter_misc":{"Written by":"rawan239","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/","url":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/","name":"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00","isPartOf":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#website"},"datePublished":"2024-04-15T03:04:13+00:00","dateModified":"2024-04-15T03:04:13+00:00","author":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209"},"breadcrumb":{"@id":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/exam.pscnotes.com\/mcq\/the-saudi-arabian-oil-refinery-developed-an-oil-well-which-is-estimated-to-contain-5000000-barrels-of-oil-at-an-initial-cost-of-50000000-what-is-the-depletion-charge-during-the-year-where-it-pr\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/exam.pscnotes.com\/mcq\/"},{"@type":"ListItem","position":2,"name":"mcq","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/"},{"@type":"ListItem","position":3,"name":"Civil engineering","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/civil-engineering\/"},{"@type":"ListItem","position":4,"name":"Engineering economics","item":"https:\/\/exam.pscnotes.com\/mcq\/category\/mcq\/civil-engineering\/engineering-economics\/"},{"@type":"ListItem","position":5,"name":"The Saudi Arabian Oil Refinery developed an oil well which is estimated to contain 5,000,000 barrels of oil at an initial cost of $ 50,000,000. What is the depletion charge during the year where it produces half million barrels of oil? Use Unit or Factor method in computing depletion. A. $ 5,000,000.00 B. $ 5,010,000.00 C. $ 5,025,000.00 D. $ 5,050,000.00"}]},{"@type":"WebSite","@id":"https:\/\/exam.pscnotes.com\/mcq\/#website","url":"https:\/\/exam.pscnotes.com\/mcq\/","name":"MCQ and Quiz for Exams","description":"","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/exam.pscnotes.com\/mcq\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/5807dafeb27d2ec82344d6cbd6c3d209","name":"rawan239","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/exam.pscnotes.com\/mcq\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/d97f17072bfa490596c8f78363955d55?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/d97f17072bfa490596c8f78363955d55?s=96&d=mm&r=g","caption":"rawan239"},"sameAs":["https:\/\/exam.pscnotes.com"],"url":"https:\/\/exam.pscnotes.com\/mcq\/author\/rawan239\/"}]}},"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/8665"}],"collection":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/comments?post=8665"}],"version-history":[{"count":0,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/posts\/8665\/revisions"}],"wp:attachment":[{"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/media?parent=8665"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/categories?post=8665"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/exam.pscnotes.com\/mcq\/wp-json\/wp\/v2\/tags?post=8665"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}