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{"ops":[{"insert":"Markov Corporation owns forests that are harvested and sold to papermaking companies. Markov purchases a new tract of forest on January 1, 20X6, for $360,000. Its experts estimate that 4,000 tons of wood can be harvested from the forest and sold. After that, the land will be worth about $20,000 (of course, Markov could replant trees, changing this value, but for ease of calculations, we\u2019ll assume no replanting).\n1.\nIn 20X6, 2,500 tons of wood are harvested and 2,200 are sold for $120 per ton. Make any necessary journal entries.\n2.\nIn 20X7, the remaining 1,500 tons are harvested and 1,800 tons are sold for $120 per ton. Make any necessary journal entries.\n3.\nDetermine the balance in land account at the end of 20X7. Does this make sense to you? Why?\n"}]}
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