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A B D E F. G H J K Holt Company acquired a tract of land containing an extractable natural resource. Holt is required by the purchase contract to restore the land to a condition suitable for recreational use after it has extracted the natural resource. Geological surveys estimate that the recoverable reserves will be 2,200,000 tons, and that the land will have a value of $400,000 after restoration. Relevant cost information follows: . Land $2,800,000 800,000 Estimated restoration costs o If Holt maintains no inventories of extracted material, what should be the charge to depletion expense per ton of extracted material? a. $1.27 b. $1.40 C. $1.45 d. $1.64 1 2 3