On May 1 2021 Hecala Mining entered into an agreement with the state of New Mexico to obtain the rights to operate a mineral mine in New Mexico for $97 million Additional costs and purchases included the following (FV or $1. PV of $1. FVA of $1. PVA of $1. FVAD of S and PVAD of $1 (Use appropriate factor(s) to the tables provided) Development costs in preparing the mine Mining equipment Construction of various structures on site $2,900,000 15,300 33,902 After the minerals are removed from the mine the equipment will be sold for an estimated residual value of $11,000 The structures will be torn down Geologists estimate that 770000 tons state of New Mexico ore can be extracted from the mine. After the ore is removed the land will revert back to the The contract with the state requires Hecala to restore the land to its original condition after mming operations are completed in approximately four years Management has provided the following possible outflows for the restoration costs Cash Outflow $570,000 Probability Das 20 Hecala's credit-adjusted risk-free interest rate is 9% During 2021. Hecala extracted 117,000 tons of ore from the mine. The company's fiscal year ends on December 31 Required: 1. Determine the amount at which Hecala will record the mine. 2. Calculate the depletion of the mine and the depreciation of the mining facilities and equipment for 2021, assuming that Hecala uses the units of production method for both depreciation and depletion. 3. How much accretion expense will the company record in its income statement for the 2021 fiscal year? 4. Are depletion of the mine and depreciation of the mining facilities and equipment reported as separate expenses in the income statement? 5. During 2022, Hecala changed its estimate of the total amount of ore originally in the mine from 770,000 to 970,000 tons Calculate the depletion of the mine and depreciation of the mining facilities and equipment for 2022 assuming Hecala extracted 147,000 tons of ore in 2022 Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Calculate the depletion of the mine and the depreciation of the mining facilities and equipment for 2021, assuming that Hecala uses the units-of-production method for both depreciation and depletion. (Do not round your intermediate calculations. Round "Depreciation" and "Depletion" rates to 4 decimal places. Round your final answers to the nearest whole dollar.) Depletion Depreciation of equipment Depreciation of structures