In $2024,$ the Marion Company purchased land containing a mineral mine for $$1,600,000.$ Additional costs of $$600,000$ were incurred to develop the mine. Geologists estimated that $400,000$ tons of ore would be extracted. After the ore is removed, the land will have a resale value of $$100,000.$

To aid in the extraction, Marion built various structures and small storage buildings on the site at a cost of $$150,000.$ These structures have a useful life of $10$ years. The structures cannot be moved after the ore has been removed and will be left at the site. In addition, new equipment costing $$80,000$ was purchased and installed at the site. Marion does not plan to move the equipment to another site, but estimates that it can be sold at auction for $$4,000$ after the mining project is completed.

In $2024,50,000$ tons of ore were extracted and sold. In $2025,$ the estimate of total tons of ore in the mine was revised from $400,000$ to $487,500.$ During $2025,80,000$ tons were extracted, of which $60,000$ tons were sold.

Required:

Compute depletion and depreciation of the mine and the mining facilities and equipment for $2024$ and $2025.$ Marion uses the units$-$of$-$production method to determine depreciation on mining facilities and equipment.

Compute the book value of the mineral mine, structures, and equipment as of December $31,2025.$

Complete this question by entering your answers in the tabs below.

Required $2$

Compute depletion and depreciation of the mine and the mining facilities and equipment for $2024$ and $2025.$ Marion uses the units$-$of$-$production method to determine depreciation on mining facilities and equipment.

Note: Do not round intermediate calculations.

$\backslash$table$[[2024,2025]]$