When a company purchases a mineral deposit for \$300,000, which of the following entries is correct?

• A. Debit Expense \$300,000; Credit Cash \$300,000
• B. Debit Mineral Asset \$300,000; Credit Cash \$300,000
• C. Debit Mineral Asset \$300,000; Credit Revenue \$300,000
• D. Debit Cash \$300,000; Credit Mineral Asset \$300,000

Answer: (B)