Mining recently began on a new deposit of 10 million tons of ore (2% nickel and 4% copper). Annual production of 350,000 tons began this year. The market price of nickel is $3.75 per pound and $0.65 for copper. Mining operation costs are expected to be $0.50 per pound. 

What is the maximum percentage depletion allowance each year for the mine?

Answer rating: 100% (QA)

To calculate the maximum percentage depletion allowance for the mine each year we need to determine ... View the full answer