3. On January 1, 20X1, ABC Oil Company erected an oil platform in the Gulf of Mexico. ABC is legally required to dismantle and remove the platform at the end of its useful life, estimated to be three years. ABC estimates that dismantling and removal will cost $2,000,000. ABC estimate the environmental liability related to the oil platform based on a 10 percent discount rat(E) ABC depreciate its assets using the straight-line metho(D) On January 2, 20X4, ABC contracts with DEF In(C) to dismantle the platform at a contract price of $2,100,000.
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