Question

Changes in the Amount of Minimum Rent
11. Bengal Mining Co. took a mine on lease at a Royalty of 5 per ton. The minimum rent
fixed at 20,000 in the first year, 730,000 for the second year and 40,000 per year theater
Shorworkings of any year could be recouped out of excess of royalty of next two years oly
The production during the first five years was as follows:
Year
2 3
4
5
Production in tons
2,000
4,500
6,000 9,000 12,000
Prepare the necessary accounts in the books of Bengal Mining Company
(MJP Rohilkhand B
1
:​

Answer 1

Answer:

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Answer 2

Answer:

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Explanation: