On April 17, 2024, the Loadstone Mining Company purchased the rights to a copper mine. The purchase price plus additional costs necessary to prepare the mine for extraction of the copper totaled $2,060,000. The company expects to extract 1,030,000 tons of copper during a four-year period. During 2024, 520,000 tons were extracted and sold immediately.

Required:

Calculate depletion for 2024.

Is depletion considered part of the product cost and included in the cost of inventory?