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A Mine Is Purchased for $4 000 000

Question 139

Multiple Choice

A mine is purchased for $4 000 000. There will be a residual value of $300 000 when the land is restored after mining is completed. The mine has an estimated 250 000 tons of coal. What is the depletable cost per ton of coal?


A) $13.33
B) $14.80
C) $16.00
D) Cannot be determined from given information

Correct Answer:

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