Question

In July 1 2020 culver inc invested $635250 in a mine estimated to have 847000 tons of ore of uniform grade during the last 6 months of 2020 146000 tons of ore were mined calculate depletion cost per unit

Answer 1

Given:

culver inc invested $635250 in a mine estimated to have 847000 tons of ore of uniform grade

So, the estimated cost per unit =

`(635250)/(847000)=0.75`

This means the cost = $0.75 per ton