Answer:
total cost of mine = $1,400,000 + $400,000 = $1,800,000
estimed number of tons of ore = 1,000,000
residual value of land at the end of the mine = $200,000
depletion expenses per ton of ore = ($1,800,000 - $200,000)/1,000,000
= $1,600,000/1,000,000
= $1.6/ton
total depletion expenses for the first year = Ddepletion expenses per ton x number of ton of ore produced
= $1.6 x 180,000
= $288,000
Explanation:
