In $2024,$ Jackson Mining Company has the following costs related to $500$ acres of land in Pennsylvania:

$1.$ Payment for the right to explore for a coal deposit $$1,000,000$

$2.$ Actual exploration costs for the coal deposit $800,000$

$3.$ Intangible dev. costs in digging, constructing the mine shaft $500,000$

$4.$ Purchase of excavation equipment $600,000$

$5.$ Restoration of the land for recreational use after extraction $468,360$

is completed, as required by contract $($determined using expected cash flow approach$)$

The company geologist estimates that $1$ million tons of coal will be extracted over the three$-$year period.

After the coal is removed from the site, the excavation equipment will be sold for an anticipated residual

value of $$60,000.$ During $2024,300,000$ tons were extracted.