On January 2, 1998, York Mining Company acquired land with ore deposits at a cash cost of \(\$ 1,800,000\). Exploration and development costs amounted to \(\$ 192,000\). The residual value of the land is expected to be \(\$ 360,000\). The ore deposits contain an estimated 6 million tons. Present technology will allow the economical extraction of only \(85 \%\) of the total deposit. Machinery, equipment, and temporary sheds were installed at a cost of \(\$ 255,000\). The assets will have no further value to the company when the ore body is exhausted; they have a physical life of 12 years. In 1998, 200,000 tons of ore were extracted. The company expects the mine to be exhausted in 10 years, with sharp variations in annual production.

a. Compute the depletion charge for 1998. Round to the nearest cent.

b. Compute the depreciation charge for 1998 under the units-of-production method.

c. If all other mining costs, except depletion, amounted to \(\$ 1,260,000\), what was the average cost per ton mined in 1998? (The depreciation calculated in \(\mathbf{b}\) is included in the \(\$ 1,260,000\).)