A zinc mine contains an estimated 1,250,000 tons of zinc ore. The mine cost $14.4 million. The

Question:

A zinc mine contains an estimated 1,250,000 tons of zinc ore. The mine cost $14.4 million. The tonnage mined during 20X1, the first year of operations, was 150,000 tons.
1. What was the depletion for 20X1?
2. Suppose that in 20X2 a total of 120,000 tons were mined. What depletion expense would be charged for 20X2?