FE8 Gold Alive Corp. (GAC), began operating a gold mine on April 1, 20X8. Pertinent details with respect to the mining equipment used by GAC follow: GAC paid a total of $1,050,000 for the equipment ($1,000,000 for the equipment plus $50,000 GST). GAC estimates that the equipment, which was brought into use when the mine opened, will last approximately eight years based on scheduled production and will have a residual value of $100,000 once production is finished. Page 319 GAC depreciates its mining equipment using the units of production method. GAC estimates that the equipment is capable of processing 20,000 ounces of gold. In 20X8, the mine processed 1,500 ounces of gold. What is the amount that GAC will report as depreciation expense relative to the mining equipment for its year ending December 31, 20X8? a) $50,625 b) $67,500 c) $71,250 d) $75,000