8

Mohawk Company acquired property for $17,000,000 containing a palladium mine on January 1, 2021. Mohawk estimated that the mine would produce 1,800,000

tons of palladium and once mining is completed, the property could be sold for $1,700,000. During the first year, 300,000 tons were mined.

What is the depletion expense per ton of palladium?

A)

$ 9.44 per ton

B)

$10.20 per ton

C)

$11.33 per ton

D)

$ 8.50 per ton