The City of Captiva is preparing its government-wide financial statements from its fund financial statements.

The City maintains a landfill for solid waste disposal and estimates that its total capacity is 10 million tons. At the end of the prior year, the City estimated that it had used 3 million tons and reported a liability for closure and postclosure costs of $3 million. During the year, the City estimates that it used an additional 500,000 tons of capacity. Closure and postclosure costs are expected to be $10 million when the Landfill reaches capacity.

a. Calculate the current period cost.