In 2020, a company acquired a mine for $10.5 million. The mine contained an estimated 10 million tons of iron ore and once the iron is depleted the mine will have a residual value of $500,000. Before beginning its operations, the company bought and installed equipment at a cost of $2,500,000 that will have no value once iron ore is depleted. The production of iron ore is given in the table below. Determine the yearly depreciation expense for the mining equipment using units-of-production method (1); and the mine's yearly depletion expense (2). Year 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Production, mln tons 0.4 0.8 1 1.2 1.2 1.2 1.2 1 1 0.6 0.4