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An oil well is subject to a 15% depletion allowance. The gross income for one year is $750,000. The taxable income excluding depletion is $90,000.

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An oil well is subject to a 15% depletion allowance. The gross income for one year is $750,000. The taxable income excluding depletion is $90,000. Find the allowable depletion charge for that year. $45,000$53,862$112,500$90,000

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