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Sachin owns a platinum mine with a basis of $30,000,000 and estimated reserves of 1,500,000 grams of platinum

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Sachin owns a platinum mine with a basis of $30,000,000 and estimated reserves of 1,500,000 grams of platinum. He extracted 90,000 grams and sold 150,000 at $20 per gram in 2020. Sachin's taxable income before the depletion deduction is $2,000,000. 

What is Sachin's percentage depletion deduction in 2020?

 

a.

$3,000,000

 

b.

None of these

 

c.

$693,000

 

d.

$1,000,000

 

e.

$1,155,000