$($Oil depletion allowance $o+)$ A wealthy investor spends $$1$ million to drill and develop an oil well that has estimated reserves of $200,000$ barrels. The well is to be operated over $5$ years, producing the estimated quantities shown in the second column of Table $2\mathrm{.}6.$ It is estimated that the oil will be sold for $$20$ per barrel. The ret income is also shown.

TABLE $2\mathrm{.}6$

OIL INVESTMENT DETAILS

$\backslash$table$[[$Year$,\backslash$table$[[$Barrels$],[$produced$]],\backslash$table$[[$Gross$],[$revenue$]],\backslash$table$[[$Net$],[$income$]],$Option $1,$Option $2,\backslash$table$[[$Depletion$],[$allowance$]],\backslash$table$[[$Taxable$],[$income$]],$Tax,$\backslash$table$[[$After$-$tax$],[$income$]]],[1,80,000,1,600,000,1,200,000,352,000,400,000,400,000,800,000,360,000,840,000],[2,70,000,1,400,000,\backslash$table$[[1,000,000$