Chaney Energy Company purchased land for $1,000,000 on which it will mine for coal. The company spent an additional 500,000 preparing the land to extract the coal, and expects that the land will have a value of $100,000 after mining is complete. Five hundred thousand tons of coal are expected to be extracted from the site. Drilling costs for 2017 were $240,000 and during that year, 120,000 tons were extracted and sold. The depletion expense per ton of coal is?

a) $4.00

b) $5.00

c) $4.80

d) $4.20

e) none of the above