$20$

Fortune Drilling Company acquires a mineral deposit at a cost of $$5,900,000.$ It incurs additional costs of $$600,000$ to access the deposit, which is estimated to contain $2,000,000$ tons and is expected to take $5$ years to extract. Compute the depletion expense for the first year assuming $418,000$ tons were mined.

Select one:

a$.$ $$1,233,100.$

b$.$ $$1,358,500.$

c$.$ $$1,300,000.$

d$.$ $$1,180,000.$

e$.$ $$1,280,000.$