How do you calculate cost depletion mesa royalty trust?

To calculate cost depletion for a Mesa Royalty Trust, you first need to determine the total basis of the trust's assets, which includes the initial investment and any additional costs associated with acquiring and maintaining the assets. Next, you calculate the total recoverable reserves of oil and gas. The cost depletion is then found by dividing the total basis by the total recoverable reserves and multiplying that by the amount of resources extracted during the tax year. This method allows you to allocate the cost basis over the volume of resources extracted.