6. On January 15, 2016, Vern purchased the rights to a mineral interest for $3,500,000. At that time it was estimated that the recoverable units would be 500,000 During the year, 40,000 units were mined and 25,000 units were sold for $800,000. Vern incurred expenses during 2016 of $500,000. The percentage depletion rate is 22%. Determine Vern's depletion deduction for 2016. a. $150,000. b. $175,000. c. $176,000. d. $200,000